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14 July 2023
Federal Jury Convicts Orlando Man of Attempting to Entice and Meet A 13-Year-Old Child to Engage in Sexual ActivityRead the Press Release
Orlando, Florida – United States Attorney Roger B. Handberg announced today that a federal jury has found Gabriel Almenas Carrasquillo (35, Orlando) guilty of using the internet and his cellphone to attempt to entice a 13-year-old child to engage in sexual activity. Almenas faces a minimum mandatory penalty of 10 years, and up to life, in federal prison and a potential life term of supervised release. Almenas was ordered detained after the return of the verdict. His sentencing hearing is scheduled for October 18, 2023.
According to evidence and testimony introduced during the three-day trial, on August 11, 2022, an undercover agent (UC) with the Metropolitan Bureau of Investigation was posing online on a social media application (app) as a 13-year-old child seeking to identify individuals with a sexual interest in children. Almenas initiated a conversation with the UC, typing “You r really beautiful.” When Almenas asked if “he” was 18, the UC advised that “he” was “a little younger,” and stated, “I’ll be fourteen in a few months …” Almenas responded, “Oh wow you look really quite develop,” and “… I’m down to keep getting to know you more …” The two discussed meeting and Almenas confirmed that the “child” would be alone without adult supervision that entire evening. At Almenas’s suggestion, their online conversation moved to another social media app. Almenas then described the sexual acts that he wanted to perform on the “child,” and he sent the UC a video depicting Almenas’s genitalia. A short time later, Almenas drove to a pre-determined location in Orlando where he believed that the “child” was staying and was subsequently arrested. In an interview, Almenas stated, among other things, that he knew that the “child” was underage when he came to meet “him,” and agreed that he “took a chance and showed up for the 13-year-old.” He also admitted that he brought the lubricant found in his backpack to engage in sexual acts with the “child.”
This case was investigated by the Metropolitan Bureau of Investigation and the Federal Bureau of Investigation in Orlando. It is being prosecuted by Assistant United States Attorney D. Rodney Brown.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
FCI Schuylkill Inmate Indicted for Possession of A WeaponRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that on July 11, 2023, Deondray LuRon Crayton, age 36, a federal inmate incarcerated at the Federal Correctional Institution at Schuylkill (FCI Schuylkill), Pennsylvania, was indicted yesterday by a federal grand jury on the charge of possessing contraband in prison.
According to United States Attorney Gerard M. Karam, the indictment alleges that on June 21, 2023, Crayton was found in possession of a homemade knife, commonly referred to as a “shank.”
The case was investigated by the Federal Bureau of Investigations and the Special Investigative Services of the Federal Bureau of Prisons. Assistant U.S. Attorney Luisa Honora Berti is prosecuting the case.
The maximum penalty under federal law for this offense is up to five years’ imprisonment, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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FCI Schuylkill Inmate Charged with Possessing ContrabandRead the Press Release
SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced that on July 11, 2023, Charles Epps, age 26, an inmate at the Federal Correctional Institute Schuylkill (FCI Schuylkill), Pennsylvania, was charged by the grand jury with possessing contraband.
According to United States Attorney Gerard M. Karam, the indictment alleges that on May 11, 2023, Epps was found in possession of a six-inch piece of plastic sharpened to a point with a cloth handle, commonly referred to as a “shank.”
This matter was investigated by the Federal Bureau of Investigation and the Bureau of Prisons. Assistant United States Attorney Brian J. Gallagher is prosecuting the case.
Epps faces a maximum penalty of five years of imprisonment, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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Electronic Health Records Vendor NextGen Healthcare, Inc. to Pay $31 Million to Settle False Claims Act AllegationsRead the Press Release
Burlington, Vermont – NextGen Healthcare, Inc. (NextGen), an electronic health record (“EHR”) technology vendor, has agreed to pay $31 million to resolve allegations that NextGen violated the False Claims Act by misrepresenting the capabilities of certain versions of its EHR software and providing unlawful remuneration to its users to induce them to recommend NextGen’s software.
“Electronic health records are an essential part of our healthcare system” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Department of Justice’s Civil Division. “Every day, millions of patients and healthcare providers across the country rely on such records to accurately identify and transmit vital health information. The Civil Division is committed to protecting the integrity of the electronic health records software that is available to providers and the process by which they decide which software to select.”
The American Recovery and Reinvestment Act of 2009 established the Medicare and Medicaid EHR Incentive Program to encourage healthcare providers to adopt and demonstrate their “meaningful use” of EHR technology. Under the program, the U.S. Department of Health and Human Services (HHS) made incentive payments to eligible healthcare providers that adopted certified EHR technology and met certain requirements relating to their use of the technology. To obtain certification for their product, companies that develop and market EHR technology are required to demonstrate that their product(s) satisfies all applicable HHS-adopted certification criteria; the company must also identify any software components on which their EHR relies to perform the criteria. Developers must first pass testing performed by an independent, accredited testing laboratory authorized by HHS, and then obtain and maintain certification by an independent, accredited certification body authorized by HHS.
In a complaint filed in conjunction with the settlement, the United States contends that NextGen falsely obtained certification for its software in connection with the 2014 Edition certification criteria published by HHS’s Office of the National Coordinator. Specifically, the government alleges that NextGen relied on an auxiliary product designed only to perform the certification test scripts, which concealed from the certifying entity that NextGen’s EHR lacked critical functionality. The government alleges that, consequently, the EHR that NextGen ultimately released to its users lacked certain required functionalities, including the ability to record vital sign data, translate data into required medical vocabularies, and create complete clinical summaries.
In its complaint, the government also alleges that NextGen violated the Anti-Kickback Statute, which prohibits anyone from offering or paying, directly or indirectly, any remuneration to induce referrals of items or services covered by Medicare, Medicaid, and other federally funded programs. In its complaint, the government contends that, notwithstanding this prohibition, NextGen knowingly gave credits, often worth as much as $10,000, to current customers whose recommendation of NextGen’s EHR software led to a new sale. The government alleges that other remuneration, including tickets to sporting events and entertainment, was also provided to induce purchases and referrals.
“Electronic health records play a pivotal role in the provision of safe, effective healthcare, and the testing and certification process of the EHR Incentive Program was intended to provide assurances to providers that their EHR can perform certain important functions,” said United States Attorney for the District of Vermont, Nikolas P. Kerest. “With this settlement, our office has now resolved five investigations into misconduct by EHR companies, demonstrating our commitment to ensuring that EHR companies are held responsible for their misrepresentations.”
“Medical providers must be able to rely on electronic health records systems to correctly document and process important health data for continuity of patient care,” said Maureen R. Dixon, Special Agent in Charge for the U.S. Department of Health and Human Services, Office of the Inspector General. “We will continue to work with our valuable law enforcement partners to evaluate allegations brought under the False Claims Act and ensure the integrity of Medicare programs.”
The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Toby Markowitz and Elizabeth Ringold, healthcare professionals at a facility that used NextGen’s software. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. The whistleblowers in this case will receive $5,580,000. The qui tam case is captioned United States ex rel. Markowitz et al. v. NextGen Healthcare, Inc., Case No. 2:18-cv-195 (D. Vt.).
The investigation and pursuit of this matter illustrate the government’s emphasis on combating healthcare fraud, including in the healthcare technology arena. One of the most powerful tools in this effort is the FCA. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement, can be reported to the Department of Health and Human Services at 800-HHS-TIPS (800-447-8477).
The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, and the United States Attorney’s Office for the District of Vermont. Investigative support and assistance was provided by the Department of Health and Human Services, Office of Counsel to the Inspector General and OIG Office of Investigations.
The matter was handled by Assistant U.S. Attorney Lauren Almquist Lively and Fraud Section Attorneys Christelle Klovers and Kelley Hauser.
The claims in the Relators’ and the government’s complaints are allegations only and there has been no determination of liability.
nextgen_complaint_in_intervention.pdf nextgen_settlement_agreement.pdfElectronic Health Records Vendor NextGen Healthcare Inc. to Pay $31 Million to Settle False Claims Act AllegationsRead the Press Release
NextGen Healthcare Inc. (NextGen), an electronic health record (EHR) technology vendor, has agreed to pay $31 million to resolve allegations that NextGen violated the False Claims Act (FCA) by misrepresenting the capabilities of certain versions of its EHR software and providing unlawful remuneration to its users to induce them to recommend NextGen’s software.
“Electronic health records are an essential part of our health care system” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department's Civil Division. “Every day, millions of patients and health care providers across the country rely on such records to accurately identify and transmit vital health information. The Civil Division is committed to protecting the integrity of the electronic health records software that is available to providers and the process by which they decide which software to select.”
The American Recovery and Reinvestment Act of 2009 established the Medicare and Medicaid EHR Incentive Program to encourage health care providers to adopt and demonstrate their “meaningful use” of EHR technology. Under the program, the U.S. Department of Health and Human Services (HHS) made incentive payments to eligible health care providers that adopted certified EHR technology and met certain requirements relating to their use of the technology. To obtain certification for their product, companies that develop and market EHR technology are required to demonstrate that their product(s) satisfies all applicable HHS-adopted certification criteria; the company must also identify any software components on which their EHR relies to perform the criteria. Developers must first pass testing performed by an independent, accredited testing laboratory authorized by HHS, and then obtain and maintain certification by an independent, accredited certification body authorized by HHS.
In a complaint filed in conjunction with the settlement, the United States contends that NextGen falsely obtained certification for its software in connection with the 2014 Edition certification criteria published by HHS’s Office of the National Coordinator. Specifically, the government alleges that NextGen relied on an auxiliary product designed only to perform the certification test scripts, which concealed from the certifying entity that NextGen’s EHR lacked critical functionality. The government alleges that, consequently, the EHR that NextGen ultimately released to its users lacked certain required functionalities, including the ability to record vital sign data, translate data into required medical vocabularies, and create complete clinical summaries.
In its complaint, the government also alleges that NextGen violated the Anti-Kickback Statute, which prohibits anyone from offering or paying, directly or indirectly, any remuneration to induce referrals of items or services covered by Medicare, Medicaid, and other federally funded programs. In its complaint, the government contends that, notwithstanding this prohibition, NextGen knowingly gave credits, often worth as much as $10,000, to current customers whose recommendation of NextGen’s EHR software led to a new sale. The government alleges that other remuneration, including tickets to sporting events and entertainment, was also provided to induce purchases and referrals.
“Electronic health records play a pivotal role in the provision of safe, effective health care, and the testing and certification process of the EHR Incentive Program was intended to provide assurances to providers that their EHR can perform certain important functions,” said U.S. Attorney Nikolas P. Kerest for the District of Vermont. “With this settlement, our office has now resolved five investigations into misconduct by EHR companies, demonstrating our commitment to ensuring that EHR companies are held responsible for their misrepresentations.”
“Medical providers must be able to rely on electronic health records systems to correctly document and process important health data for continuity of patient care,” said Special Agent in Charge Maureen R. Dixon for the HHS, Office of the Inspector General (HHS-OIG). “We will continue to work with our valuable law enforcement partners to evaluate allegations brought under the False Claims Act and ensure the integrity of Medicare programs.”
The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Toby Markowitz and Elizabeth Ringold, health care professionals at a facility that used NextGen’s software. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. The whistleblowers in this case will receive $5,580,000. The qui tam case is captioned United States ex rel. Markowitz et al. v. NextGen Healthcare Inc., Case No. 2:18-cv-195 (D. Vt.).
The investigation and pursuit of this matter illustrate the government’s emphasis on combating health care fraud, including in the health care technology arena. One of the most powerful tools in this effort is the FCA. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement can be reported to the Department of Health and Human Services at 800-HHS-TIPS (800-447-8477).
The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, and the U.S. Attorney’s Office for the District of Vermont. Investigative support and assistance was provided by the Department of Health and Human Services, Office of Counsel to the Inspector General and OIG Office of Investigations.
The matter was handled by Fraud Section Attorneys Christelle Klovers and Kelley Hauser and Assistant U.S. Attorney Lauren Almquist Lively for the District of Vermont.
The claims in the relators’ and the government’s complaints are allegations only and there has been no determination of liability.
Settlement ComplaintEast St. Louis Drug Dealer Sentenced to 16 Years in Federal PrisonRead the Press Release
EAST ST. LOUIS, Ill. – A U.S. District judge sentenced an East St. Louis man to spend 16 years in federal prison on drug distribution and firearm charges.
Mosezell Jones, 43, pled guilty to one count of possession with intent to distribute a controlled substance and one count of felon in possession of a firearm.
“Illicit drugs and firearms result in fear and destruction to a neighborhood, and families in East St. Louis are better off with one less criminal infecting the community,” said U.S. Attorney Rachelle Aud Crowe. “I applaud the officers for apprehending this defendant.”
“Illinois State Police special agents are committed to seeking out and holding accountable those individuals pushing life-destroying meth into our communities,” said ISP Director Brendan F. Kelly.
According to court documents, undercover agents with the Metropolitan Enforcement Group of Southern Illinois of ISP conducted several controlled buys of a total of approximately 25 grams of methamphetamine from Jones at his home in East St. Louis in June 2021. Following the operation, officers executed a search warrant on Jones’s home and detained him.
From the search, officers recovered approximately 140 grams of methamphetamine, an AK-47-style rifle, 12-guage shotgun, a revolver, ammunition and drug paraphernalia. Due to prior felony convictions, Jones is unable to legally possess firearms.
During the investigation, officers discovered Jones was using a pill press machine to disguise methamphetamine, an addictive and deadly stimulant, as multi-colored tablets that appeared similar to candy or vitamins.
ISP led the investigation with support from the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).Dominican National Extradited to Face International Narcotics Trafficking Charges in MilwaukeeRead the Press Release
Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced the successful extradition of Rafael Dario Gonzalez-Amparo (a/k/a “Rafa,” a/k/a “Sisi”) from the Dominican Republic based on a superseding indictment returned in Milwaukee. On July 14, 2023, Gonzalez-Amparo had his initial appearance and arraignment before U.S. Magistrate Judge Stephen C. Dries in Milwaukee, Wisconsin. Gonzalez-Amparo was ordered temporarily detained. His detention hearing is scheduled for July 19, 2023.
On November 8, 2022, a grand jury had returned a superseding indictment against Gonzalez-Amparo, alleging one count of international drug trafficking conspiracy and one substantive count of international drug trafficking. According to the superseding indictment, from approximately February 2019 through March 22, 2022, Gonzalez-Amparo conspired with Jean Eliobert Jasme (a/k/a “ED1,” “Eddy One,” and “Tio Loco”), Gabriel Zuñiga (a/k/a “Ito,” a/k/a “Hito,” a/k/a “Captain Ito,” a/k/a Capi”), and others to distribute five kilograms or more of cocaine intending, knowing, or having reasonable cause to believe the cocaine would be unlawfully imported into the United States. The indictment also alleges that on or about April 19, 2020, Gonzalez-Amparo distributed five kilograms or more of cocaine intending, knowing, or having reasonable cause to believe the cocaine would be unlawfully imported into the United States.
The DEA Port-au-Prince Country Office and the DEA Milwaukee Field Office investigated this case. The Justice Department’s Office of International Affairs, the Dominican government, including the National Counterdrug Directorate (DNCD), and the U.S. Marshals Service, provided substantial assistance in this matter. Assistant U.S. Attorneys Robert J. Brady, Jr. and Gail J. Hoffman of the Eastern District of Wisconsin are prosecuting the case.
An indictment is merely an allegation, and a defendant is presumed innocent until proved guilty beyond a reasonable doubt in a court of law.
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For Additional Information Contact:
Public Information Officer
Kenneth.Gales@usdoj.gov
414-297-1700
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District Man Sentenced to 19 Years in Prison for Following and Fatally Shooting Man in AlleywayRead the Press Release
WASHINGTON – Keith Hudson, 28, of Washington, D.C., was sentenced today to 19 years in prison for second degree murder while armed in the February 6, 2021, shooting death of Isaiah Glover. Superior Court Judge Anthony C. Epstein also ordered five years of supervised release. The sentence was announced by U.S. Attorney Matthew M. Graves and Interim Chief Ashan Benedict, of the Metropolitan Police Department.
According to the government’s evidence, around 2:40 p.m. on February 6, 2021, the victim was walking on Hunt Place NE, when he turned south onto the 800 block of 42nd Street and encountered the defendant. Hudson was driving a white Buick LeSabre. He drove north on 42nd Street NE past Mr. Glover, then intentionally made a U-turn and drove back south on 42nd Street past Mr. Glover again. Mr. Glover took a right onto Hunt Place SE and headed towards Minnesota Ave. NE. After passing Mr. Glover twice, the defendant drove to Gault Street NE and 42nd Street NE where he parked the vehicle. The defendant got out of his car and walked towards Hunt Place SE and Minnesota Ave., and followed Mr. Glover into the alley behind 4147 Minnesota Ave, NE. Mr. Glover was unaware that he was being followed. The defendant quickly caught up to Mr. Glover. He drew a .40 caliber firearm out of his front hoodie pocket and, just as soon as Mr. Glover realized that the was being followed, the defendant shot Mr. Glover twice. Mr. Glover sustained a life ending injury to his brain. The defendant then ran through a perpendicular alley, back to his car, and fled. Law enforcement and paramedics arrived at the alley and pronounced Isaiah Glover dead at 2:53 pm.
“This sentence will remove a dangerous person from our District’s streets for a substantial period of time,” said U.S. Attorney Graves. “Our office is grateful for the detectives who doggedly pursued this case and offers our sincerest condolences to Isaiah Glover’s family on this tragic loss.”
Officers with the Metropolitan Police Department arrested Hudson on February 9, 2021 and has been in custody since. Hudson pleaded guilty on April 14, 2023.
In announcing the sentence, U.S. Attorney Graves and Interim Chief Benedict commended the work of those who investigated the case from the Metropolitan Police Department. They acknowledged the efforts of those who worked on the case form the U.S. Attorney’s Office, including Paralegal Specialist Kelly Blakeney, Victim/Witness Advocate Latrice Washington-Williams.
Finally, they commended the work of Assistant U.S. Attorney Andrea Coronado, who investigated and prosecuted the case.
Dayton man sentenced to 2 years in prison for stealing checks from U.S. MailRead the Press Release
DAYTON, Ohio – Keith Dujuan Calahan, of Dayton, was sentenced in U.S. District Court to 24 months in prison for receiving and unlawfully possessing materials stolen from the U.S. Mail, including approximately 250 checks. Callahan intended to use the stolen mail matter to perpetrate more than $250,000 in fraud.
Local law enforcement began placing GPS tracking devices inside “dummy” packages in collection boxes outside the Dabel Post Office in Kettering, and, in May 2022, three such packages were stolen.
According to court documents, law enforcement tracked the GPS locations of the stolen packages and set up surveillance around an apartment complex Dayton. Three individuals were subsequently arrested, including Calahan. Calahan had two trash bags full of stolen mail matter, including two of the dummy packages.
While executing a search warrant at Calahan’s apartment, investigators discovered 250 stolen checks, nearly $1,700 in cash, a $1,000 money order and two firearms. Two weeks prior to his arrest, Calahan had fraudulently deposited a $6,100 check, which had been stolen from the U.S. Mail and altered to reflect a different payee.
Calahan pleaded guilty in February 2023 to receipt and possession of stolen mail.
“The theft of mail can be hugely disruptive to the lives of those whose private communications are stolen, opened, and exploited,” said United States Attorney Kenneth L. Parker. “This sentence should be a warning to anyone tempted to break into a collection box in search of easy money that doing so comes with considerable consequences.”
Parker and Lesley C. Allison, Inspector in Charge, U.S. Postal Inspection Service (USPIS), Pittsburgh Division; announced the judgment issued on July 13 by U.S. District Court Judge Walter H. Rice. Assistant United States Attorney Rob Painter is representing the United States in this case.
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DOJ and UW Medical Center - Northwest resolve allegations the medical center violated the Americans with Disabilities Act in caring for patients who are deafRead the Press Release
Seattle – University of Washington Medical Center – Northwest (UWMC-NW) will reform its policies and procedures for providing sign-language interpreters, and other assistive devices for patients who are deaf or hard of hearing following a complaint from a patient that such services were not provided during a hospitalization in 2021. UWMC-NW will pay the patient $40,000 in addition to the changes in training, policies, and procedures.
“Ensuring effective communication in medical settings has been a top priority in our civil rights work,” said Acting U.S. Attorney Gorman. “Before and after surgery, a patient must be able to understand the medical staff and communicate their level of pain, their concerns, and any questions they have about ongoing care. This settlement clearly lays out the steps for UWMC-NW to comply with the ADA and provide best practices for their patients.”
The Americans with Disabilities Act (ADA) mandates that public entities, including healthcare providers, provide auxiliary aids and services free of charge to patients who need them in order to communicate effectively. An investigation by the U.S. Attorney’s Office, Western District of Washington, determined that UWMC-NW failed to provide the complainant with a qualified sign language interpreter necessary to communicate effectively with her on several occasions during her hospital stay in April 2021 including pre-surgical consultation, surgery, and post-surgical care. The hospital did attempt to use a Video Relay Interpreter (VRI) service, but it was ineffective.
The settlement requires the hospital to make a number of changes including:
- UWMC-NW will have a designated ADA Coordinator on duty at all times that the hospital is open to the public. That person will coordinate services and assistive devices for patients who are deaf, deaf-blind, or hard of hearing.
- The UWMC-NW will enter into contracts with three interpreter services so that they are able to obtain an interpreter in a reasonable period of time.
- Video Remote Interpreting will be used only if it meets certain guidelines, and will not be used for certain complex or lengthy appointments where in-person interpretation is critical.
- All staff will be trained on the new procedures including the initial evaluation of whether a patient needs assistive services for communication.
- The hospital will log the use of assistive devices and services and provide that log to the U.S. Attorney’s Office every six months for review. The hospital will also provide any complaints regarding provision of assistive services.
- The review by the U.S. Attorney’s Office will continue for the next three years. If the U.S. Attorney’s Office believes the terms of this settlement have been violated it can file suit in U.S. District Court.
The investigation and settlement were negotiated by Assistant United States Attorney Matt Waldrop.
Chicago Man Sentenced to 30 Years in Federal Prison for Enticing Girls in the Philippines to Produce Sexually Explicit ImagesRead the Press Release
CHICAGO — A Chicago man has been sentenced to 30 years in federal prison for enticing at least nine girls in the Philippines to produce sexually explicit photos and videos of themselves and send them to him.
KARL QUILTER, 58, pleaded guilty last year to a federal charge of sexual exploitation of children. U.S. District Judge Virginia M. Kendall imposed the 30-year sentence after a hearing July 7, 2023, in federal court in Chicago.
Quilter admitted in a plea agreement that he communicated with the girls via Facebook, Viber, and Skype from 2017 to 2020. Quilter referred to the minor victims as his “girlfriends” to manipulate and pressure them into sending specific types of photos and videos that he demanded. Quilter also preyed on the victims’ financial difficulties, using money transfers to the victims’ families to entice the girls to take the sexually explicit images. In a message to one 16-year-old victim in 2020, Quilter promised to send money to her family for medicine and food if she complied with his demands. “If u do what I tell you… I will make sure u can buy food for 2 weeks and your medication,” Quilter said in the message. “Think of your little sister that she can e[a]t for 2 weeks everyday 3 meals a day and u get well.”
Quilter traveled to the Philippines in 2017 and 2018 and explicitly referenced his plans to have sex with several of the minors when he next visited the country in December 2020. Law enforcement arrested Quilter in Chicago in November 2020.
The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Sean Fitzgerald, Special Agent-in-Charge of Homeland Security Investigations in Chicago. The Chicago Police Department provided valuable assistance.
“Victim by victim, and message by message, defendant used social media and the internet to target and groom young Filipino girls,” Assistant U.S. Attorney Ashley A. Chung argued in the government’s sentencing memorandum. “This was not a one-time aberration, but rather a years-long pattern of predatory abuse and exploitation of minors.”
If you believe you are a victim of sexual exploitation, you are encouraged to contact the National Center for Missing and Exploited Children by logging on to www.missingkids.com or by calling 1-800-843-5678. The service is available 24 hours a day, seven days a week.
Chicago Man Sentenced 46 Months for Bank Fraud ConspiracyRead the Press Release
BOISE – Elijah A. Johnson, 32, of Chicago, Illinois, was sentenced to 46 months in federal prison for conspiracy to commit bank fraud, announced U.S. Attorney Josh Hurwit. U.S. District Judge Amanda K. Brailsford imposed the sentence and also ordered Johnson to serve five years of supervised release following his prison sentence.
According to court records, from March 2019 through March 2022, Johnson was part a bank fraud conspiracy that obtained victim bank account information, impersonated account holders, and created and cashed counterfeit checks to obtain money. On part of the conspiracy, Johnson recruited check cashers, drove check cashers, and organized counterfeit check-cashing trips to other states. He has travelled to numerous states to facilitate the conspiracy, including Idaho, Minnesota, Ohio, California, Tennessee, Indiana, and Pennsylvania.
Johnson traveled with at least six-co-conspirators to Idaho on May 5, 2020. Johnson drove and assisted other co-conspirators in cashing and attempting to cash counterfeit checks in Idaho between May 6 and 8, 2020. On May 6, Johnson assisted co-conspirators in successfully cashing nine counterfeit checks, totaling $47,054.41. On May 8, the Defendant assisted two co‑conspirators in attempting to cash checks and successfully cashing a third check at another bank, totaling $13,710.96.
Johnson’s six co-conspirators have been charged in two related cases. Four co-conspirators were previously charged and sentenced in another case. Johnson’s co-conspirator Billy A. Guidry pleaded guilty to conspiracy to commit bank fraud and is set for sentencing on August 8, 2023.
U.S. Attorney Hurwit credited the collective efforts of a geographically-diverse set of law enforcement agencies for this successful investigation: in Idaho, the Federal Bureau of Investigation, the Social Security Administration Office of the Inspector General, the Ada County Sheriff’s Office, the Boise Police Department, the Garden City Police Department, the Meridian Police Department, and the Nampa Police Department; and outside of Idaho, the Chicago Police Department, the Ellisville Police Department, the Fort Atkinson Police Department, the Gahanna Police Department, the Johnson Creek Police Department, the Montgomery Township Police Department, the Normal Police Department, the Peoria County Sheriff’s Office, the Redwood City Police Department, the San Mateo County Sheriff’s Office, the Sioux Falls Police Department, the Stockton Police Department, the Waltham Police Department, and the Wellesley Police Department.
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Brooklyn, NY, consultant for Amazon sellers sentenced to home detention and fine for role in bribery schemeRead the Press Release
Seattle – A successful consultant to Amazon third-party selling partners (3P Sellers) was sentenced today in U.S. District Court in Seattle for his participation in an international bribery scheme used to aid his clients, announced Acting U.S. Attorney Tessa M. Gorman. Ephraim Rosenberg, 48, was sentenced to two years of probation, including a year of home confinement, and a $100,000 fine. At the sentencing hearing, U.S. District Judge Richard A. Jones noted that Rosenberg “participated in the scheme for a period of three years. You stopped because you got caught by law enforcement.”
“Mr. Rosenberg participated in a scheme to bribe Amazon employees for confidential information and improper benefits – and he didn’t just funnel bribes through his co-conspirators to workers in India -- he paid a Seattle Amazon employee more than $18,000 for confidential information,” said Acting U.S. Attorney Gorman. “After first attacking the federal indictment brought in this case, Mr. Rosenberg has now admitted his crimes and has publicized his regret about his criminal conduct as a warning to others who scheme to illegally manipulate the marketplace.”
According to records filed in the case, between July 2017 and September 2020, Rosenberg and his coconspirators used a number of illegal tactics to steal internal and confidential data from Amazon. Rosenberg paid bribes to obtain confidential notes and information as to why certain clients, 3P Sellers, had been suspended by Amazon. The clients could then use that information to craft their appeals to be reinstated. Rosenberg also purchased forged documents to act as proof that certain products had been purchased from approved suppliers. In fact, the use of the forged documents could allow counterfeit or even unsafe products to enter the marketplace and harm consumers.
While Rosenberg used bribery and fraud to assist his clients, there is no evidence that he engaged in negative attacks on other 3P sellers. Other conspirators in the scheme made false complaints to Amazon, posted sham negative reviews and even defaced sellers’ product listings. Those defendants who attacked other Amazon sellers have faced more significant prison sentences.
Hadis Nuhanovic, 32, of Acworth, Georgia, was sentenced in February 2023, to 20 months in prison, forfeiture of $100,000 and $160,453 in restitution to the Internal Revenue Service. Rohit Kadimisetty, was sentenced last year to ten months in prison and a $50,000 fine. Kristen Leccese and Joseph Nilsen have pleaded guilty and are scheduled for sentencing on September 8, 2023.
In her sentencing memo, Assistant United States Attorney Miriam Hinman wrote, “Rosenberg committed a serious crime when he corrupted Amazon employees, stole from Amazon, and gained access to internal systems and controls—all to the disadvantage of Amazon, small businesses, and consumers. Rosenberg and his co-conspirators used their insider knowledge of Amazon to break its rules and abuse Amazon’s platform. They stole Amazon’s confidential information to line their own pockets… These activities resulted in deceiving customers and unfairly disadvantaging small businesses that followed the rules. This long running, global conspiracy caused significant harm.”
The case is being investigated by the FBI, with assistance from the Internal Revenue Service-Criminal Investigations (IRS-CI), and the Department of Justice Office of International Affairs.
The case is being prosecuted by Assistant United States Attorneys Miriam R. Hinman.
Booneville Man Sentenced in Drug Trafficking CaseRead the Press Release
Oxford, MS – A Booneville man was sentenced today to 15 years in prison for conspiracy to possess with intent to distribute methamphetamine.
According to court documents, Justin Williams, 34, of Booneville, Mississippi, pled guilty in the United States District Court for the Northern District of Mississippi to one count of conspiracy to possess with intent to distribute 50 grams or more of methamphetamine. Williams was sentenced by U.S. District Court Judge Glen H. Davidson to 180 months in prison and a $10,000 fine. He was further sentenced to 5 years of supervised release following his release from prison. In addition, the court ordered Williams to forfeit more than $100,000 and various jewelry items that were identified as drug proceeds.
Williams was involved in a drug trafficking organization responsible for transporting large quantities of methamphetamine from Texas and distributing it throughout the Northern District of Mississippi and elsewhere. Williams participated in the conspiracy by being a source of supply for large quantities of methamphetamine distributed throughout the Northern District of Mississippi. Williams arranged to have the controlled substances shipped through commercial package delivery services into Mississippi, where he would then distribute the controlled substance throughout the Northern District of Mississippi. The investigation of this drug trafficking organization and its participants spanned more than a year. Williams was indicted along with sixteen other individuals, including Chuckie Leach and Gary Ricks. Leach was recently sentenced to 151 months imprisonment followed by 3 years of supervised release while Ricks was sentenced to 188 months imprisonment and 3 years of supervised release.
“The distribution and use of methamphetamine has devastating consequences for communities across our Country, and many towns throughout our District have felt its harsh effects,” stated U.S. Attorney Clay Joyner. “The arrest and prosecution of those who contribute to this problem is a priority for the U.S. Attorney’s Office as well as our federal, state and local law enforcement partners, and we will continue to work together to hold accountable those who distribute dangerous drugs like methamphetamine in the Northern District of Mississippi.”
"Justin Williams's sentencing sends a clear message that drug trafficking will not be tolerated in the Northern District of Mississippi,” remarked Bradford L. Byerley, Special Agent in Charge of the DEA. “Methamphetamine is an addictive drug with devastating consequences for individuals and families. We will continue to work tirelessly with our law enforcement partners to investigate and prosecute those who are responsible for bringing dangerous drugs into our communities.”
Ada Resident Sentenced for Murder in Indian CountryRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Jimmy Louis Northcutt, Jr., age 45, of Ada, Oklahoma, was sentenced to 222 months for his role in a Pontotoc County homicide.
The charges arose from an investigation by the Pontotoc County Sheriff’s Office, the Oklahoma Bureau of Investigation, and the Federal Bureau of Investigation.
On April 7, 2022, Northcutt pleaded guilty to one count of Murder in Indian Country – Second Degree. According to investigators, on July 18, 2019, Northcutt broke into a commercial marijuana grow operation and shot the victim three times, killing him. The crime occurred in Pontotoc County, within the boundaries of the Chickasaw Nation Reservation, in the Eastern District of Oklahoma.
The Honorable Ronald A. White, Chief Judge in the United States District Court for the Eastern District of Oklahoma, presided over the hearing. Northcutt was remanded to the custody of the U.S. Marshal at the conclusion of sentencing. He will remain in custody pending transportation to a designated United States Bureau of Prisons facility to serve his non-paroleable sentence of incarceration.
Assistant United States Attorney Cameron McEwen represented the United States.
Activity in the U.S. Attorney's OfficeRead the Press Release
Drug and Firearm Offenses
Ryan Jase Harkins, age 42, of Cheyenne, Wyoming, was sentenced on July 6, 2023, to 71 months in prison for possession with intent to distribute methamphetamine and being a felon in possession of a firearm. Chief U.S. District Court Judge Scott W. Skavdahl imposed the sentence, which included three years of supervised release, $500 community restitution, and a $200 special assessment.
According to court documents, on October 21, 2022, Wyoming Division of Criminal Investigation (DCI) executed a search warrant for a camera system at Harkins’ residence in Casper, Wyoming, where he lived with his minor children. During the search, agents saw illegal drugs in plain view and applied for and received a second search warrant for drugs. Agents then found fentanyl, methamphetamine, Harkins’ state ID, and a firearm in a safe in Harkins’ bedroom.
This crime was investigated by DCI and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). The case was prosecuted by Assistant U.S. Attorney Jonathan C. Coppom.
Drug Trafficking
Co-conspirators George Daniel Nitchman, age 50, of Worland, Wyoming, Jeffrey Johnson, age 33, Michael Shae Kelli, age 23, both of Sheridan, Wyoming, and Joseph Raymond Stone, age 44 of Porterville, California, were recently sentenced for their roles in a drug trafficking ring. A fifth co-conspirator, Anthony Rodriguez, age 51, of Porterville, California, is scheduled to be sentenced on September 1, 2023.
According to court documents, Wyoming Division of Criminal Investigation (DCI) agents were briefed on an influx of methamphetamine being distributed in the Lovell, Wyoming area in October of 2021. After conducting interviews with known and unknown drug distributors in the area, and executing search warrants obtained from Wyoming state courts, agents were able to identify key players distributing methamphetamine in and around Lovell. The methamphetamine was transported from California to Wyoming via rental cars, a Greyhound bus, and through the U.S. Postal Service.
Chief U.S. District Court Judge Scott W. Skavdahl imposed the following sentences:
- George Nitchman received 110 months’ imprisonment with four years of supervised release, $500 for community restitution, and a $100 special assessment for possession with intent to distribute methamphetamine.
- Jeffrey Johnson received 110 months’ imprisonment with five years of supervised release, $500 for community restitution, and a $100 special assessment for possession with intent to distribute methamphetamine.
- Michael Kelli received 70 months’ imprisonment with five years of supervised release, $500 for community restitution, and a $100 special assessment for possession with intent to distribute methamphetamine.
- Joseph Stone received 95 months’ imprisonment with three years of supervised release, $400 for community restitution, and a $100 special assessment for distribution of methamphetamine.
This crime was investigated by DCI, the U.S. Drug Enforcement Administration, and the U.S. Postal Inspection Service. This case was prosecuted by Assistant United States Attorneys T.J. Forwood and Michael Elmore.
Fugitive/Failure to Register Crimes
Leonard Dale Van Dam, age 73, of Green River, Wyoming, was sentenced on July 12, 2023, to 30 months’ imprisonment with three years of supervised release and a $200 special assessment for escape from custody and for possession with intent to distribute heroin. U.S. District Court Judge Alan B. Johnson imposed the sentence. This crime was investigated by the U.S. Marshals Service and prosecuted by Assistant U.S. Attorney Z. Seth Griswold.
Randolph Paul Duran, Jr. age 34, of Casper, Wyoming, was sentenced on July 13, 2023, to 24 months’ imprisonment with five years of supervised release and a $100 special assessment for failure to register as a sex offender. U.S. District Court Judge Nancy D. Freudenthal imposed the sentence which will run consecutive to the sentence she imposed in case number 20-CR-184-F. In that case, the court imposed 6 months’ imprisonment for violation of supervised release terms. This crime was investigated by the U.S. Marshals Service and prosecuted by Assistant U.S. Attorney Timothy Gist.
Delray Quiver, age 45, of Lander, Wyoming, was sentenced on July 13, 2023, to 12 months and 1 day in prison for failure to register as a sex offender. U.S. District Court Judge Alan B. Johnson imposed the sentence which includes five years of supervised release and a $100 special assessment. This crime was investigated by the U.S. Marshals Service and prosecuted by Assistant U.S. Attorney Timothy Gist.
About the United States Attorney’s Office
The United States Attorney’s Office is responsible for representing the federal government in virtually all litigation involving the United States in the District of Wyoming, including all criminal prosecutions for violations of federal law, civil lawsuits brought by or against the government, and actions to collect judgments and restitution on behalf of victims and taxpayers. The Office is involved in several programs designed to make our communities safer. They include:
Environmental Justice
The fair treatment and meaningful involvement of all people regardless of race, color, national origin, or income with respect to the development, implementation, and enforcement of environmental laws, regulations, and policies.
Project Safe Childhood
Project Safe Childhood (PSC) is a DOJ initiative that combats the proliferation of technology-facilitated sexual exploitation crimes against children. The threat of sexual predators soliciting children for sexual contact is well-known and serious.
Project Safe Neighborhoods
Project Safe Neighborhoods (PSN) is a nationwide commitment to reducing gun and gang crime in America by networking existing local programs that target gun crime and providing these programs with additional tools necessary to be successful.
Victim Witness Assistance
The Victim Witness Coordinator for the United States Attorney’s Office for the District of Wyoming is dedicated to making sure that victims of federal crimes and their family members are treated with compassion, fairness, and respect.To report a federal crime, go to: https://www.justice.gov/actioncenter/report-crime#trafficking
14 Defendants, Including Leaders of the Colombo Organized Crime Family, Plead Guilty to Various Felony ChargesRead the Press Release
Earlier today, at the federal courthouse in Brooklyn, Vincent Ricciardo, also known as “Vinny Unions,” a captain in the Colombo crime family of La Cosa Nostra, pleaded guilty to racketeering related to his extortion of a high-ranking official of a Queens-based labor union (the “Labor Union”), loansharking, and conspiracy to commit money laundering. Ricciardo is the last of the defendants indicted in 2021 and 2022 in connection with various offenses committed by members and associates of the Colombo crime family involving extortion, money laundering conspiracy, drug-trafficking, fraud and loansharking offenses. Previously, Benjamin Castellazzo, the Colombo family underboss, pleaded guilty to money laundering conspiracy and Ralph DiMatteo, the Colombo consigliere, pleaded guilty to racketeering involving extortion and money laundering conspiracy. Colombo family captains Theodore Persico, Jr., who was slated to become the crime family’s next boss, and Richard Ferrara also pleaded guilty to racketeering. Other defendants convicted of racketeering included Colombo family soldier Michael Uvino and associates Thomas Costa and Dominick Ricciardo.
In addition, various employee welfare benefit plan brokers and providers, including Albert Alimena, Joseph Bellantoni, and Erin Thompkins, pleaded guilty to health care fraud conspiracy stemming from their agreement with Colombo family members to divert benefit funds to the Mafia family. The guilty pleas took place before United States District Judge Hector Gonzalez.
Breon Peace, United States Attorney for the Eastern District of New York, announced the guilty pleas.
“Today, there can be no doubt that the Colombo crime family has been decapitated as a result of the guilty pleas by its leadership and other facilitators of lucrative schemes,” stated United States Attorney Peace. “This Office, and the outstanding prosecutors, Special Agents, and detectives responsible for this significant blow are nevertheless mindful of the resilience of organized crime and we will not relent in our efforts to dismantle, disrupt, and disable this destructive menace in our communities.”
Mr. Peace expressed his appreciation to the Federal Bureau of Investigation, New York Field Office (FBI), the New York City Police Department, the U.S. Department of Labor’s Employee Benefits Security Administration and Office of the Inspector General, the Nassau County Police Department, the New York City Department of Investigation, the U.S. Department of Labor, and the Department of Justice’s Organized Crime and Gang Section for their invaluable assistance in the investigation.
According to earlier court filings and facts presented during the guilty plea proceedings, the defendants and their co-conspirators committed a variety of crimes – including extortion, loansharking, fraud, and drug-trafficking – to enrich themselves and to promote the continued operation of the Colombo organized crime family of La Cosa Nostra. The Colombo family’s administration, including boss Andrew Russo (who passed away during the pendency of the case), underboss Castellazzo and consigliere DiMatteo, as well captains Persico, Ferrara, and Vincent Ricciardo, agreed to use extortionate means, including threats of bodily harm, to force the official to give over a portion of his salary and, eventually, to take decisions at the Labor Union and with its affiliated healthcare benefit fund (the “Health Fund”) that would enrich the Colombo crime family’s administration, including attempts to force the trustees of the Health Fund to select vendors who were associated with the Colombo crime family and handpicked by some of the defendants. The crime family’s administration sought to divert more than $10,000 per month from the Health Fund’s assets to the Mafia.
In addition, Castellazzo, DiMatteo, Persico, Ferrara, Ricciardo, and Uvino joined with defendants Alimena, Thompkins, and Bellantoni to devise a scheme to launder money from Health Fund contracts and vendor payments. These defendants attempted to re-bid Health Fund vendor contracts for claims administration, pharmaceuticals, and other health services to persons and companies affiliated with Bellantoni, and to select a company run by Alimena as the Health Fund’s third-party administrator.
Bonanno crime family soldier John Ragano, who was also known as “Bazoo” and the “Maniac,” also led a scheme to issue fraudulent workplace safety training certifications from two occupational safety schools he purported to operate in Long Island. Rather than provide workplace safety trainings required to obtain Occupational Safety and Health Administration (OSHA) certification, Ragano along with John Glover and Domenick Ricciardo, falsified paperwork submitted to the U.S. Department of Labor and other government agencies which represented that hundreds of workers had completed construction safety training courses when they had not. Instead, various defendants used Ragano’s schools to conduct meetings involving members of La Cosa Nostra and to store illegal drugs and fireworks. In November 2022, Ragano pleaded guilty to conspiracy to commit fraud in connection with a means of identification. He was sentenced in April 2023 to 57 months’ imprisonment. In December 2022, Domenick Ricciardo pleaded guilty to racketeering and was sentenced in June 2023 to 28 months’ imprisonment.
When sentenced, Castellazzo, DiMatteo, Ferrara, Martino, Persico, Vincent Ricciardo, and Uvino each face up to 20 years in prison. Costa faces up to 30 years in prison. Glover faces up to 15 years in prison. Alimena, Bellantoni, and Thompkins face up to 10 years in prison.
The government’s case is being handled by the Office’s Organized Crime and Gangs Section. Assistant United States Attorneys James P. McDonald, Devon Lash, Michael W. Gibaldi, and Andrew Reich are in charge of the prosecution.
The Defendants:
ALBERT ALIMENA
Age: 69
Pompano Beach, FloridaJOSEPH BELLANTONI
Age: 41
Massapequa, New YorkBENJAMIN CASTELLAZZO (also known as “Benji”)
Age: 85
Manahawkin, New JerseyTHOMAS COSTA
Age: 54
West Islip, New YorkRALPH DIMATTEO
Age: 68
Merrick, New YorkRICHARD FERRARA
Age: 61
Brooklyn, New YorkJOHN GLOVER
Age: 64
Queens, New YorkVINCENT MARTINO
Age: 45
Medford, New YorkTHEODORE PERSICO, JR. (also known as “Teddy”)
Age: 59
Brooklyn, New YorkJOHN RAGANO (also known as “Bazoo” and the “Maniac”)
Age: 61
Franklin Square, New YorkDOMENICK RICCIARDO
Age: 57
Franklin Square, New YorkVINCENT RICCIARDO (also known as “Vinny Unions”)
Age: 77
Franklin Square, New YorkERIN THOMPKINS
Age: 55
Franklin Square, New YorkMICHAEL UVINO
Age: 57
Garden City, New YorkE.D.N.Y. Docket No. 21-CR-466 (S-1) (HG)
13 July 2023
Wheeling man admits to sale of fentanyl pillsRead the Press Release
WHEELING, WEST VIRGINIA – A Wheeling, West Virginia, man has admitted to the distribution of counterfeit pills containing fentanyl.
Rashun Rafael Suncar, also known as “Blackie,” 36, pled guilty today to the distribution of fentanyl. According to court documents, Suncar sold pills stamped as the prescription medication Percocet that contained fentanyl near the Elks Playground in East Wheeling. Agents obtained a search warrant for Suncar’s residence where they recovered additional drugs along with a 9mm Taurus pistol.
Suncar faces a up to 20 years of incarceration and a fine of up to $1,000,000. The U.S. Attorney’s Office is seeking a sentencing enhancement against Suncar because of the firearm found in his home.
The Ohio Valley Drug Task Force, a HIDTA-funded initiative, investigated.
Assistant U.S. Attorney Carly Nogay is prosecuting the case on behalf of the government.
U.S. Magistrate Judge James P. Mazzone presided.
West Roxbury Man Sentenced to Two Years in Prison for Physical Therapy Clinic Fraud SchemeRead the Press Release
BOSTON – A West Roxbury man was sentenced yesterday in federal court in Boston in connection with a scheme to defraud multiple insurance providers for physical therapy services that were not provided to patients.
Slava Pride, 42, was sentenced by U.S. District Court Judge Richard G. Stearns to two years in prison and two years of supervised release. Pride was also ordered to pay restitution of $2,301,645. In November 2022, Pride pleaded guilty to one count of conspiracy to commit mail fraud. Pride was indicted in February 2021 along with co-defendants Anna Barenboym, Gyulnara Bayryshova and Raya Bagardi. Pride pleaded guilty in November 2022.
Pride was a physical therapy assistant at Brighton Physical Therapy (BPT), a Brighton-based physical therapy clinic owned by Bayryshova. Barenboym and Bagardi were also employed at BPT as a licensed physical therapist and a licensed physical therapist assistant, respectively. According to the charging documents, from October 2018 through June 2020, Pride and his co-defendants conspired to cause multiple insurance companies to reimburse them for physical therapy services that were not actually provided and/or were not medically necessary and, in some cases, were provided by individuals not licensed to provide the services. Specifically, Pride and, allegedly, his co-defendants falsely billed for services purportedly rendered to patients injured in automobile accidents when the services were not actually provided. It is further alleged that BPT paid patients for referrals, referred patients to attorneys to assist with patients’ insurance settlements and accepted kickbacks from those attorneys in return.
Pride was one of three defendants to plead guilty in the case. Barenboym and Bagardi previously pleaded guilty to their roles in the conspiracy and are scheduled to be sentenced on August 3, 2023 and July 19, 2023, respectively.
Acting United States Attorney Joshua S. Levy; Christopher DiMenna, Acting Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Anthony DiPaolo, Chief of Investigations of the Insurance Fraud Bureau of Massachusetts; Boston Police Commissioner Michael Cox; and Quincy Police Chief Mark Kennedy made the announcement today. Assistant U.S. Attorney Laura J. Kaplan of the Criminal Division prosecuted the case.
Vancouver Man Extradited to the United States for Role in Penny Stock FraudRead the Press Release
BOSTON – A Vancouver man has been extradited from Canada to the United States for his alleged role in a market manipulation scheme intended to defraud investors in the Boston-based company Endeavor Power Corp.
Marco G. Babini, 62, was arrested in April 2020 and was extradited to the United States on July 7, 2023. Babini made his initial appearance in federal court on July 10, 2023 and was arraigned on July 12, 2023, at which time a federal magistrate judge took his pretrial detention under advisement. Babini was indicted in September 2015 on one count of conspiracy to commit securities fraud and wire fraud; one count of securities fraud; and two counts of wire fraud.
According to the charging documents, between approximately July 2012 and March 2013, Babini allegedly conspired to manipulate the securities of Endeavor. Specifically, it is alleged that Babini and others executed a scheme in which Babini secretly controlled and accumulated a significant portion of the purportedly unrestricted shares of Endeavor without making the legally mandated disclosures to the public. While doing so, Babini and others allegedly engaged in manipulative stock trading transactions and then orchestrated a promotional campaign for the purpose of facilitating the fraudulent dump of their shares into the market, a course of conduct commonly known as a “pump-and-dump.”
Babini’s alleged co-conspirators Edward Withrow III and Samuel Brown were previously charged with and convicted of federal offenses. In May 2018, Withrow pleaded guilty to one count of making false statements to the U.S. Securities & Exchange Commission (SEC). Brown separately pleaded guilty in July 2015 to one count of conspiracy to commit securities fraud and wire fraud and one count of making false statements to the SEC. Withrow and Brown were sentenced in December 2018 and January 2019, respectively.
The charges or conspiracy and securities fraud each provide for a sentence of up to 25 years in prison, five years of supervised release and a fine of $250,000, or twice the amount involved, whichever is greater. The charge of wire fraud provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000, or twice the amount involved, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua Levy and Christopher DiMenna, Acting Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. The U.S. Justice Department’s Office of International Affairs and the Department of Justice Canada provided valuable assistance. Assistant U.S. Attorney James R. Drabick of the Securities, Financial & Cyber Fraud Unit is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
U.S. Attorney’s Office, Law Enforcement, Community Partners to Host National Night Out Event in East St. LouisRead the Press Release
EAST ST. LOUIS, Ill. – To encourage stronger relationships between residents and law enforcement, the U.S. Attorney’s Office in the Southern District of Illinois, event organizers and officials are inviting the East St. Louis community to a free event with activities for attendees of all ages to celebrate National Night Out.
The event will be held from 5 to 7 p.m. on Tuesday, Aug. 1 at Lincoln Park in East St. Louis, located at 606 S. 15th St.
Community partners will give out school supplies to students and will offer an array of activities like competitive games and more.
Ameren Illinois, the City of East St. Louis, Community Development Sustainable Solutions (CDSS), Community Life Line, the East St. Louis Police & Fire Departments, Illinois State Police, Family & Community Engagement Center, Fathers & Families Support Center, Indivisible Metro East, Kaskaskia Group of the Illinois Sierra Club, Lessie Bates Davis Neighborhood House, and the U.S. Attorney’s Office are partnering to host the event.
National Night Out is an annual community-building campaign that promotes police-community partnerships and neighborhood camaraderie.
U.S. Attorney’s Office Announces Arrest and Indictment of a Canadian Man for Destruction of an Energy Facility and Illegal Firearm PossessionRead the Press Release
BISMARCK –United States Attorney Mac Schneider announced that a federal grand jury has returned an indictment charging Cameron Monte Smith, a citizen of Canada, with 1) Destruction of an Energy Facility; 2) Possession of Firearm by an Illegal Alien; and 3) Possession of Ammunition by an Illegal Alien.
As stated in the indictment, Smith is alleged to have damaged the Wheelock Substation in an amount exceeding $100,000.00 in May of 2023. The substation, located near Ray, North Dakota, is operated by Mountrail-Williams Electric Cooperative and Basin Electric Power Cooperative.
Smith is also alleged to have illegally possessed a .450 Bushmaster rifle and 9mm Sig Sauer pistol knowing that he was an alien illegally and unlawfully in the United States.
The charge of destruction of an energy facility is punishable by a maximum imprisonment term of 20 years and a $250,000 fine. The firearm offenses are each punishable by a maximum imprisonment term of 15 years and a $250,000 fine.
On July 12, 2023, Smith appeared before United States Magistrate Judge Clare R. Hochhalter for an initial appearance and arraignment where he entered a not guilty plea to these charges. Judge Hochhalter ordered that Smith be detained in federal custody pending a detention hearing scheduled for July 17, 2023, at 2:00 p.m. A trial has been scheduled for September 12, 2023, at 9:30 a.m. in Bismarck, ND.
An indictment is an accusation and notice of charges. The defendant is presumed innocent under the law unless and until proven guilty.
This case is being investigated by the Federal Bureau of Investigation and the Williams County Sheriff’s Office and is being prosecuted by Assistant United States Attorneys David D. Hagler and Jonathan J. O’Konek with the assistance of Trial Attorneys Jacob Warren and Justin Sher of the National Security Division’s Counterterrorism Section.
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U.S. Attorney's Office Summer Law Camp Introduces High School Students to A Career in the LawRead the Press Release
CHARLOTTE, N.C. – This week, 22 high school students attended the U.S. Attorney’s Office Summer Law Camp, for an introduction to the American Criminal Justice System and to learn more about what it takes to pursue a career in the law. The three-day program wrapped up on Wednesday, July 12, 2023, with the students participating in mock trials at the federal courthouse in Charlotte. U.S. District Judge Robert J. Conrad Jr. presided over the mock trials.
“Our Summer Law Camp is a great way to introduce young people to our criminal justice system and the diverse career paths available to them within the legal field,” said U.S. Attorney King. “The mock trials also give students an opportunity to better understand legal proceedings and trial advocacy, and experience first-hand what it’s like to be a lawyer in an interesting, fun, and interactive format.”
The U.S. Attorney’s Office Summer Law Camp is free of charge, and it is available to students in 9th through 12th grades who are interested in learning more about the legal profession. The program is taught by career federal prosecutors and it is designed to help students explore the justice system, learn about the Federal Rules of Evidence, gain basic advocacy skills, and encourage students to think as lawyers. In addition, participating students receive instruction on evidence collection, and have an opportunity to hear from guest speakers representing law enforcement agencies and the defense bar. During the mock trials, students actively participate in the court proceedings, with assigned roles as prosecutors, defense attorneys, and witnesses, tasked with delivering opening and closing statements, providing testimony, and conducting cross examinations.
“Our law camp provides students of all socio-economic backgrounds with an opportunity to be exposed to the legal profession, understand the legal process, and learn more about career options in the legal field,” said U.S. Attorney King. “But ultimately, the law camp is more than a lesson in civics or career preparation. The goal is to help young people gain a greater understanding of the power and responsibility they hold as citizens and the important role they play in ensuring that the criminal justice system is a place where they can make a difference for themselves, for their community, and, ultimately, for justice,” King added.
Additional information about the U.S. Attorney’s Office Summer Law Camp can be found here.
Two Queens Men Sentenced for Armed Robbery at Aqueduct RacetrackRead the Press Release
Earlier today, in federal court in Brooklyn, Lamel Miller was sentenced by United States District Judge Ann M. Donnelly to 108 months’ imprisonment following his conviction at trial in connection with the March 7, 2020 armed robbery of over $280,000 in cash from the Aqueduct Racetrack in Queens. Last month, on June 14, 2023, Miller’s co-defendant, Lafayette Morrison, who was a racetrack security guard acting as an “inside man” during the robbery, was sentenced to 90 months’ imprisonment.
Breon Peace, United States Attorney for the Eastern District of New York, John B. DeVito, Special Agent-in-Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives, New York Field Division (ATF), and Edward A. Caban, Acting Commissioner, New York City Police Department (NYPD), announced the sentences.
“These sentences are the finale to the armed robbery that played out like a Hollywood movie heist,” stated United States Attorney Peace. “Miller and Morrison made the wrong bet in robbing the Aqueduct Racetrack and have been justly punished for their violent crimes.”
“This sentencing clearly demonstrates that serious violent crime such as the armed robbery committed by the defendants; will be met with a corresponding response from law enforcement.” said ATF Special Agent-in-Charge John DeVito. “The men and women of ATF SPARTA investigate and arrest those who believe they can prey on New Yorkers without fear of consequences. They can’t! Thanks to the NYPD’s Queens Robbery Squad and U.S. Attorney's office for the outcome of this case.”
“The criminals involved in this ill-conceived robbery plot have earned meaningful prison sentences for their roles in its planning and execution,” stated NYPD Acting Commissioner Edward A. Caban. “I commend and thank the NYPD detectives and ATF agents on our Joint Robbery Task Force, and the prosecutors in the office of the U.S. Attorney for the Eastern District of New York, for their critical work on this important case.”
On October 21, 2022, a federal jury in Brooklyn convicted Morrison of Hobbs Act robbery and conspiracy to commit Hobbs Act robbery in connection with the March 7, 2020 armed robbery of more than $280,000 in cash from Aqueduct Racetrack in South Ozone Park, Queens. Morrison and Miller were also convicted of brandishing a firearm in connection with the robbery. Additionally, Morrison was convicted of obstruction of justice. Miller previously pled guilty to the robbery in September 2022.
As proven at trial, at approximately 10 p.m. following the Gotham Day stakes races at Aqueduct, Miller and a co-conspirator, the third charged defendant, held up at gunpoint several racetrack employees – including Morrison, who was employed as a racetrack security guard – as they were transporting more than $284,000 in cash earnings to a vault. Miller and the co-conspirator emerged from their hiding spot in a stairwell and confronted the employees at gunpoint, taking the cash and employees’ cell phones, and forcing the employees into a closet. Miller and the co-conspirator then went to a hotel where they divided up the robbery proceeds; they each took $100,000 and gave the remaining $84,000 to Morrison, who had falsely posed as a victim during the robbery. In reality, Morrison had served as the robbery crew’s “inside man,” providing information in advance about where and when the money would be transported to the Aqueduct Racetrack’s vault. When interviewed by federal law enforcement officers after the robbery, Morrison repeatedly lied to officers, including by claiming to be a victim of the crime and misidentifying a photograph of his childhood friend, Miller.
The government’s case is being prosecuted by Assistant United States Attorneys Matthew R. Galeotti and Rachel A. Bennek, with the assistance of paralegal specialist Anna November. Assistant United States Attorney Claire Kedeshian of the Office’s Asset Recovery Section is in charge of asset forfeiture.
The Defendants:
LAMEL MILLER
Age: 41
Queens, New YorkLAFAYETTE MORRISON
Age: 41
Queens, New YorkE.D.N.Y. Docket No. 20-CR-216 (AMD)
Two People Convicted of Conspiring to Sell Methamphetamine in East AlabamaRead the Press Release
MONTGOMERY, ALABAMA – On July 11, 2023, a federal jury in Opelika, Alabama convicted Andre Tremayne Franklin, 38, from Columbus, Georgia, and Kahlia Nichelle Washington, 27, from Phenix City, Alabama, for their roles in an east Alabama drug trafficking operation, announced United States Attorney Sandra J. Stewart.
According to court records and evidence presented at trial, the DEA began an investigation of a suspected drug trafficking operation in 2020. The investigation eventually revealed that a Columbus, Georgia man, Justin Garrett, 30, was supplying methamphetamine and cocaine to Franklin and others to be resold. The jury heard evidence that Franklin would commonly store and sell the illegal drugs in a “stash house” in Phenix City. Washington helped Franklin run the stash house and would contact Franklin when customers would arrive. Garrett pleaded guilty to conspiracy to possess methamphetamine with intent to distribute on June 22, 2023, and his sentencing hearing is scheduled for October 5, 2023. A sentencing date for Franklin and Washington will be set in the coming months. At sentencing, Franklin and Garrett each face a sentence of up to life in prison. Washington could receive a sentence of anywhere from 5 to 40 years. The following provides more detail on the statuses of five additional defendants involved in the operation:
- On June 22, 2023, Xavier Toombs, 35, a resident of Phenix City, Alabama, pleaded guilty to conspiracy to possess methamphetamine with intent to distribute and is facing a maximum sentence of life in prison.
- Also on June 22, 2023, Ryan Brown, 33, another resident of Phenix City, pleaded guilty to possession with intent to distribute methamphetamine and is facing a maximum sentence of life in prison.
- On June 23, 2023, Torrez Jenkins, 28, a resident of Jonesboro, Georgia, was sentenced to 64 months in prison for conspiracy to possess methamphetamine with intent to distribute. He pleaded guilty to the charge on March 6, 2023.
- On June 27, 2023, Lorenzo Miles, 34, a resident of Columbus, Georgia, pleaded guilty to conspiracy to possess methamphetamine with intent to distribute and is facing a maximum sentence of life in prison.
- On June 28, 2023, Khourtney Jakeith Brown, 34, another resident of Phenix City, pleaded guilty to conspiracy to possess methamphetamine with intent to distribute and is facing a maximum sentence of life in prison.
United States Attorney Stewart thanks all of the agencies involved in this investigation, including the DEA; the FBI; the United States Marshals Service; the Auburn Police Division; the Eufaula Police Department; the Phenix City Police Department; the Henry County Sheriff’s Office; the Russell County Sheriff’s Office; the Columbus, Georgia Police Department; and the Muscogee County, Georgia Sheriff’s Office. Assistant United States Attorneys Kevin P. Davidson and Brett J. Talley are prosecuting the case.
Two More Dublin Federal Correctional Officers Plead Guilty to Sexually Abusing Multiple Female InmatesRead the Press Release
As part of its ongoing investigation into Bureau of Prisons (BOP) officials at Federal Correctional Institution (FCI) Dublin, two more federal prison correctional officers were charged for sexually abusing multiple female inmates.
Nakie Nunley, 48, of Fairfield, California, and Andrew Jones, 35, of Pleasanton, California, were each charged by information with multiple counts of sexually abusing female inmates and then lying about the abuse to federal investigators. Both Nunley and Jones were employed as federal correctional officers at the time of the abuse. Both have agreed to plead guilty in written plea agreements, which were filed concurrently with the charging documents.
“The sexual abuse charges and guilty pleas announced today are the result of the Department of Justice’s sustained commitment to rooting out sexual misconduct at the Bureau of Prisons,” said Deputy Attorney General Lisa O. Monaco. “As these guilty pleas reflect, we will continue to hold accountable correctional officers who abuse their positions of trust and fail to humanely care for those in their custody.”
“The FBI is unrelenting in its protection of the civil rights of all individuals, including those who are incarcerated,” said FBI Deputy Director Paul Abbate. “No matter where these crimes occur, violence of any type destroys the safety and protection that every person deserves. We will continue to pursue investigations into any Bureau of Prisons official who abuses their position and assaults those in their care.”
“This office’s ongoing investigation into the conditions at FCI Dublin has revealed significant wrongdoing by multiple correctional officers at that facility,” said U.S. Attorney Ismail J. Ramsey for the Northern District of California. “The Department of Justice will not tolerate misconduct in the care of incarcerated persons. Correctional officers have an obligation to ensure the safety of incarcerated persons, and all Bureau of Prisons employees should view these latest two prosecutions as confirmation that the Department of Justice will do its part to ensure that those who stray from these obligations are held accountable.”
“Nunley and Jones are the seventh and eighth individuals charged with sexually abusing inmates at FCI Dublin. Five individuals, including the Warden and Chaplain, have been convicted of sexual abuse of inmates,” said Inspector General Michael E. Horowitz. “The Department of Justice Office of the Inspector General (DOJ-OIG) is continuing to investigate these heinous allegations at FCI Dublin and is aggressively pursuing justice for victims of sexual abuse at the hands of rogue BOP employees.”
“Incarcerated individuals should be able to serve their sentences without fear of being sexually assaulted by correctional institution staff,” said Special Agent in Charge Robert Tripp of FBI San Francisco Field Office. “Nakie Nunley and Andrew Jones abused their positions and will be held accountable. Protecting civil rights stands among the FBI’s highest priorities, and we will continue to investigate such claims as they come to light.”
Nunley was charged with engaging in sexual acts and sexual contacts with five women who were serving prison sentences at FCI Dublin at the time of the abuse. He was also charged with lying to federal investigators about the sexual abuse and writing sexually explicit notes with one of his victims. Jones was charged with engaging in sexual acts with three women who were serving prison sentences at FCI Dublin, as well as lying to federal investigators about sexually abusing one of these victims.
Nakie Nunley
Nunley was employed as a correctional officer at FCI Dublin where he supervised prisoners who worked in UNICOR, a trade name for the federal prison industries. All of Nunley’s victims worked at the UNICOR call center at the time of his abuse. According to his plea agreement, Nunley admits that between March 2020 and November 2021, he engaged in sexual acts with two prisoners, including having oral and vaginal sex with one victim and digitally penetrating another victim on multiple occasions. He also admitted that he engaged in illegal sexual contacts with three other prisoners and that he lied to federal investigators about sexually abusing his victims and about sending one of his victims sexually explicit notes.
In addition to the five victims, Nunley also admitted in his plea agreement that he sexually abused two other prisoners who worked at UNICOR. Nunley admitted that he digitally penetrated one victim’s vagina and caused her to touch his penis under his pants, resulting in him ejaculating in her hand. Nunley admitted that he caused another victim to perform oral sex on him.
Nunley also admitted that he engaged in other inappropriate behavior. For example, Nunley agreed that he wrote sexual notes to one of his victims and made sexual comments to multiple victims. Moreover, when one of his victims approached him about his conduct towards another victim, Nunley threatened her by raising with her the potential that she could be transferred to another facility and that she could lose her job. Similarly, Nunley admitted that he told another victim that if she wanted to keep her job at UNICOR, she needed to pull down her underwear and bend over. When she complied, Nunley slapped her buttocks several times.
Andrew Jones
Jones was employed as a correctional officer at FCI Dublin where he supervised prisoners who worked in the Food Services Department. According to his plea agreement, between July 2020 and June 2021, Jones admitted that he received oral sex from, or had sexual intercourse with, three female prisoners who worked for him in the FCI Dublin kitchen. Jones admitted that he sexually abused these prisoners in multiple places near the FCI Dublin kitchen, including a staff bathroom, a warehouse, and a room where kitchen utensils were kept. In addition, like Nunley, Jones admitted in his plea agreement that he engaged in improper conduct in addition to the conduct for which he was charged in the Information. Specifically, Jones admitted that he also had sexual intercourse and received oral sex from an additional victim on multiple other occasions between July and December 2020, and that he had sexual intercourse with yet another victim multiple times between March and June 2021.
FCI Dublin Investigation
As part of the Justice Department’s ongoing investigation into FCI Dublin, eight FCI Dublin correctional officers, including the former Warden, have been charged with crimes related to the sexual abuse of the female prisoners at the facility. In December 2022, former Warden Ray J. Garcia was convicted by a jury of sexually abusive conduct against three female victims and was sentenced to 70 months in prison for his crimes. To date, the tally of correctional officers charged with misconduct as part of the Justice Department’s investigation are as follows:
NAME
CASE NUMBER
STATUS
Warden Ray J. Garcia
4:21-cr-00429-YGR
Convicted on all counts by jury on Dec. 8, 2022; sentenced to 70 months in prison
CO John Bellhouse
4:22-cr-00066-YGR
Convicted on all counts by jury on June 5; sentencing scheduled for Oct. 27
Chaplain James Highhouse
4:22-cr-00016-HSG
Pleaded guilty on Feb. 24, 2022; sentenced to 84 months in prison
CO Enrique Chavez
4:22-cr-00104-YGR
Pleaded guilty on Oct. 27, 2022; sentenced to 20 months in prison
CO Ross Klinger
4:22-cr-00031-YGR
Pleaded guilty on Feb. 10, 2022; sentencing scheduled for Dec. 13
CO Darrel Smith (aka “Dirty Dick Smith”)
4:22-cr-00110-YGR
Indicted on April 13; status conference scheduled for Aug. 3
CO Nakie Nunley
4:23-cr-00213-HSG
Information and Plea Agreement filed on July 13
CO Andrew Jones
4:23-cr-00212-HSG
Information and Plea Agreement filed on July 13
DOJ-OIG and the FBI investigated the case.
Assistant U.S. Attorneys Molly K. Priedeman and Andrew Paulson for the Northern District of California, with the assistance of Madeline Wachs, Sara Slattery, Christine Tian, Claudia Hyslop, Leeya Kekona, and Kay Konopaske, are prosecuting the case.
Two Bronx Men Charged in Connection with Shooting of Five-Year-Old GirlRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, Edward Caban, the First Deputy Commissioner of the New York City Police Department (“NYPD”), and John DeVito, the Special Agent in Charge of the New York Field Division of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (“ATF”), announced charges against AUSTIN MORRISHOW and CURTIS WHITE for possessing ammunition after conviction of a felony. MORRISHOW and WHITE were congregated outside on a busy sidewalk in the Bronx the Friday before the July Fourth holiday weekend when they fired multiple shots at three cars in the Bronx, New York, hitting and seriously injuring a five-year-old child sitting in the backseat of one of the cars. WHITE was arrested this morning in Hazleton, Pennsylvania, pursuant to a criminal Complaint and was presented earlier today in the Southern District of New York before U.S. Magistrate Judge Ona T. Wang. MORRISHOW remains at large.
U.S. Attorney Damian Williams said: “As alleged, the defendants fired two guns — with ammunition that they were not allowed to possess — multiple times at three fleeing cars with innocent passengers inside, including a five-year-old girl, who was shot in the back. These senseless acts of violence occurred in front of a memorial of someone shot and killed in the area just the day before. Let this be a message to those who plague our streets with gun violence: We will work tirelessly, swiftly, and unceasingly in coordination with our law enforcement partners to find you, wherever you are and whenever it may be, and we will bring you to justice.”
NYPD First Deputy Commissioner Edward Caban said: “We promised this little girl and her family that we would not rest until the criminals involved in her shooting were identified, located, and held accountable. True to our word, we vow that the actions of any repeat violent offender who uses an illegal gun on our streets will never be tolerated – there will always be consequences.”
ATF Special Agent in Charge John DeVito said: “Today’s arrest sends a clear message that violent criminals will be met with swift justice for their blatant criminal acts. Any shootings carried out on the streets of NYC are reprehensible let alone one that caused harm to innocent bystanders and a child. This callous disregard for life has no place in our communities, and ATF will work hand in hand with all our partners to ensure those responsible are held accountable.”
According to the allegations contained in the Complaint:[[1]]
On June 30, 2023, the victim — a five-year-old girl — was sitting in the backseat of her father’s tan sedan, which was double-parked in front of a residential building in the Bronx near a group of individuals who were gathered outside at a makeshift memorial for an individual who had been shot and killed just the day prior. The victim’s father, who was sitting in the driver’s seat of the car, was waiting for two friends to arrive to attend a car show in Queens. The two friends arrived at approximately 7:00 p.m. — one driving a silver sedan and the other driving a red minivan. A still image from surveillance footage is below with the three cars circled in red and the gathering circled in yellow:
As the driver of the silver sedan pulled next to the victim’s father, the driver of the silver sedan revved his engine. The victim’s father cautioned his friend not to accelerate the car to avoid the vehicle backfiring and the sound being mistaken for gunshots. But it was too late. The silver sedan backfired, causing the group of individuals — including MORRISHOW and WHITE — to scatter.
MORRISHOW took cover behind a parked vehicle and fired a .40 caliber pistol multiple times at the three cars, which began fleeing from the gunfire. A still image from surveillance video footage is below with MORRISHOW circled in red:
WHITE ran down the street after the fleeing cars, firing a .380 caliber pistol. A still image from surveillance video footage is below with WHITE circled in red:
After the victim’s father drove his daughter to safety a couple blocks away, he got out of his car to check on his daughter. Realizing that she had been shot in his back, he held her in his arms and yelled for somebody to call an ambulance. The driver of the silver car called 911. Minutes later, NYPD officers arrived and transported the victim to the hospital.
In the wake of the shooting, the NYPD recovered a .380 caliber firearm from an apartment unit that WHITE entered immediately after the shooting before exiting shortly thereafter. A photograph of the .380 caliber firearm recovered by the NYPD is below:
The NYPD also recovered seven .40 caliber shell casings from the vicinity of the parked car near where MORRISHOW fired his gun, as well as two .380 caliber shell casings from the street near where WHITE fired his gun. MORRISHOW was not permitted to possess a firearm or ammunition because of his prior federal conviction for using and carrying a firearm during and in relation to a narcotics conspiracy, and WHITE was not permitted to possess a firearm or ammunition because of his prior state conviction for attempted first-degree assault with intent to cause serious injury with a weapon.
* * *
MORRISHOW, 25, and WHITE, 26, both of the Bronx, New York, are each charged with one count of possession of ammunition after a felony conviction, which carries a maximum sentence of 15 years in prison.
The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendants will be determined by a judge.
Mr. Williams praised the outstanding investigative work of the NYPD and the ATF and thanked the U.S. Marshals Service and the Bronx County District Attorney’s Office for their assistance.
The prosecution of this case is being handled by the Office’s General Crimes Unit. Assistant U.S. Attorney Jerry J. Fang is in charge of the prosecution.
The charges contained in the Complaint are merely an accusation, and the defendants are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.
U.S. v. Morrishow and White ComplaintThree Indicted for Publisher’s Clearing House Imposter Scam Targeting Elderly VictimsRead the Press Release
PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that Jowayne C. Godfrey, 24 years old, of Margate, Florida, Vinmar Y.A. Mitchell, 25 years old, of Roosevelt, New York, and Ariel S. Bagalue, 31 years old, of Dorchester, Massachusetts, were arrested and charged by indictment with conspiracy to money launder for a group of schemers that was targeting elderly victims throughout the United States in a Publisher’s Clearing House scam. The indictment alleges that the participants in this scheme duped their victims into believing they had won a large prize, preyed on their elderly victims’ trust and false hopes of collecting millions of dollars, and persuaded their victims to deplete their life savings and go into debt to pay supposed sweepstakes taxes and fees, which the schemers, including defendants Godfrey, Mitchell, and Bagalue, stole for themselves.
According to the indictment, from approximately February 2020 through February 2023, imposters posing as Publisher’s Clearing House representatives called elderly Americans and informed them they had won millions of dollars and new cars in the Publisher’s Clearing House sweepstakes. The imposters convinced the victims that in order to collect their significant winnings, they had to pay up-front taxes and fees. The imposters directed the victims about how to make the payments, including making direct deposits to bank accounts belonging to schemers, buying gift cards and mailing them to the schemers or providing the card numbers and PIN codes over the phone to the schemers, and mailing checks and cash to the schemers. If a victim made one bogus tax or fee payment, the schemers called back and requested more tax and fee payments, falsely claiming that the additional payments were needed in order for the victim to claim the sweepstakes prize. According to the indictment, defendants Godfrey, Mitchell, and Bagalue laundered and attempted to launder approximately $400,000 of victim funds from the scheme. The indictment sets forth how the defendants received the victim funds and then moved the money around in smaller transactions designed to conceal the source, location, and control of the funds, kept some for themselves and passed the remainder on to other schemers.
If convicted, each defendant faces a maximum possible sentence of 20 years of imprisonment, a three-year term of supervised release, a fine of $500,000 or twice the value of the property involved in the transaction.
The case was investigated by Homeland Security Investigations, Philadelphia, and is being prosecuted by Assistant United States Attorney Nancy E. Potts.
An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
Three Cuban Nationals Sentenced for Sex Trafficking and Related Crimes in Texas Strip ClubsRead the Press Release
Three Cuban nationals were sentenced for sex trafficking and related crimes in strip clubs in the Houston area.
Rasiel Gutierrez Moreno, 38, Hendry Jimenez Milanes, 39, and Rafael Mendoza Labrada, 29, were each sentenced to 210 months in prison and to pay $451,298 in restitution, 120 months and $359,108 in restitution, and time served of 34 months, respectively.
Gutierrez Moreno pleaded guilty to sex trafficking and interstate travel in aid of racketeering Oct. 28, 2021. As part of his plea agreement, Gutierrez Moreno admitted to bringing women from Cuba to the United States and imposing on them inflated smuggling debts as high as $30,000. Gutierrez Moreno forced the women to work in Houston-area strip clubs, such as Michaels’ International, where they danced and engaged in commercial sex acts with club patrons, providing all the proceeds to Gutierrez Moreno to pay down their debt. The defendant further acknowledged smuggling and imposing debts to coerce approximately 20 other women in this manner.
Gutierrez Moreno admitted that, to keep Victim 1 under his control while she worked for him, he bragged about his acts of violence against other women and their families. On one occasion, Gutierrez Moreno beat another woman shortly before Victim 1 arrived at his home and ensured that Victim 1 observed that woman’s injuries. When Victim 1 escaped Gutierrez Moreno, the defendant contacted her family in both Miami and Cuba to demand that she return to work and finish paying her debt to him.
Jimenez Milanes pleaded guilty on Jan. 10, 2022, to coercion and enticement, and Mendoza Labrada pleaded guilty on April 30, 2021, to interstate travel in aid of racketeering.
“These defendants cruelly used violence, threats of violence, and false debts to force vulnerable victims to engage in commercial sex,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This kind of sex trafficking scheme is unlawful, dehumanizing and terrorizing to the women unable to break free. The Justice Department is committed to the vigorous prosecution of those who prey upon, abuse and exploit others for their own financial benefit.”
“These human smugglers terrorized female migrants, using Houston’s strip clubs combined with psychological threats and sexual violence for their personal financial gain,” said U.S. Attorney Alamdar S. Hamdani for the Southern District of Texas. “The victims came to the United States in search of a new life, were especially vulnerable, and the defendants took advantage of that. The sentences imposed today send a strong message that the Southern District of Texas will not tolerate those who smuggle, threaten and abuse the vulnerable.”
“The court’s sentence today sends a strong message: The Diplomatic Security Service is committed to making sure that those who commit sex trafficking face consequences for their criminal actions,” said Special Agent in Charge John Keith of the Department of State’s Diplomatic Security Service (DSS) Houston Field Office. “DSS’ strong relationship with the Department of Justice and other law enforcement agencies around the world continues to be essential in the pursuit of justice.”
“Homeland Security Investigations (HSI) will always remain dedicated and focused on the identification and recovery of the victims of human trafficking. We prioritize not only the safe rescue of these victims, but work with our partners to provide them with resources necessary to help them deal and cope with their experience,” said Special Agent in Charge Anthony Salisbury of HSI Miami. “We are committed to working with our local, state and federal law enforcement partners to put any human trafficker who soullessly preys on victims of this crime to put them behind bars.”
The DSS investigated the case as part of the Human Trafficking Rescue Alliance (HTRA), with the assistance of HSI Miami and the Department of Labor Wage and Hour Division.
Established in 2004, the U.S. Attorney’s Office in Houston formed HTRA to combine resources with federal, state and local law enforcement agencies and prosecutors, as well as non-governmental service organizations to target human traffickers while providing necessary services to those survivors who the traffickers victimized. Since its inception, HTRA has been recognized as both a national and international model in identifying and assisting victims of human trafficking and prosecuting those engaged in trafficking offenses.
Assistant U.S. Attorney Sherri Zack for the Southern District of Texas and Trial Attorney Kate Hill of the Civil Rights Division’s Human Trafficking Prosecution Unit prosecuted the case.
If you believe you or someone you know may be a victim of human trafficking, call local law enforcement or the 24/7 confidential National Human Trafficking Hotline at 1-888-373-7888.
Texas Man Pleads Guilty to Advertising Child PornographyRead the Press Release
BOSTON – A Texas man pleaded guilty yesterday in federal court in Boston to advertising child pornography on the dark web.
Neal Grubert, 35, of Bertram, Texas, pleaded guilty to one count of advertising child pornography. U.S. District Court Judge Nathanial M. Gorton scheduled sentencing for Oct. 19, 2023. Grubert was indicted by a federal grand jury in January 2021.
In May 2020, Swedish law enforcement authorities determined that a Swedish citizen was producing images and videos of himself sexually abusing his three-year-old niece and distributing them on various dark websites. The investigation identified Grubert as an administrator of one of the websites. Following the Swedish individual’s arrest, a forensic examination of their phone revealed several images and videos depicting the sexual exploitation of children, including images and videos in which Grubert’s face could be seen watching the exploitation as it happened via webcam while logged onto this dark website. Specifically, Grubert was masturbating while directing the Swedish individual how to molest his niece. A subsequent undercover investigation by federal law enforcement located images and a video uploaded and published by Grubert in his role as an administrator on the dark website.
The other individual pleaded guilty to charges in Sweden and was sentenced to seven years in prison.
The charge of advertising child pornography provides for a sentence of at least 15 years and up to 30 years in prison, at least five years and up to a lifetime of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
Acting United States Attorney Joshua S. Levy and Michael J. Krol, Acting Special Agent in Charge of Homeland Security Investigations in New England made the announcement today. Valuable assistance in the investigation was provided by the Swedish Police Authority; Swedish National Operations Department; Swedish National IT Crime Centre; Swedish Prosecution Authority; Swedish National Public Prosecution Department; and Swedish National Unit against Organized Crime. Assistant U.S. Attorneys Luke A. Goldworm and Benjamin Tolkoff of the Major Crimes Unit are prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.Tampa Man Sentenced to 18 Years for Attempting to Provide Material Support to IsisRead the Press Release
Tampa, Florida – U.S. District Judge Thomas P. Barber today sentenced Muhammed Momtaz Al-Azhari (26, Tampa) to 18 years in federal prison, followed by a lifetime of supervised release for attempting to provide material support to a designated foreign terrorist organization. The court also ordered Al-Azhari to forfeit certain assets that are traceable to proceeds of the offense, as well as various items of property, including gear, that were involved in, or intended to be used to commit, the offense. Al-Azhari had pleaded guilty on February 23, 2023.
According to court documents, Al-Azhari pleaded guilty to the charge in February 2023. Al-Azhari is a United States citizen who spent most of his life abroad and came to embrace dogmatic, Islamist/Salafist beliefs. In 2018, Al-Azhari was released from prison in Saudi Arabia following a conviction and sentence for supporting terrorism in Syria, after which he was removed to the United States.
Upon Al-Azhari’s arrival to the United States in or around December 2018, the FBI began investigating him for potentially providing material support to ISIS, which, at all relevant times, was designated as a foreign terrorist organization under federal law. In or around April 2020, Al-Azhari began to plan to carry out an attack in support of ISIS. Around the same time, Al-Azhari began to acquire multiple firearms. Al-Azhari also researched and scouted potential locations for an attack in the Tampa Bay area. Since at least May 2019, Al-Azhari also consumed ISIS propaganda and spoke favorably about ISIS, to whom he eventually pledged his allegiance through a bay’ah (an Islamic oath of allegiance). Furthermore, Al-Azhari spoke about avenging the United States’ imprisonment of Muslims, including ISIS fighters, and the United States’ military actions in the Middle East. In addition, Al-Azhari rehearsed parts of the plan described above, including practicing statements that he would make during, or in connection with, the plans described above in support of ISIS.
Al-Azhari had multiple, recorded interactions with an FBI undercover employee (UCE) and a confidential human source (CHS) in April and May 2020. Al-Azhari was in the process of trying to buy guns from the undercover employee, including a fully automatic rifle, when he was arrested on state charges for carrying a concealed weapon without a permit. After his release from state custody, Al-Azhari continued to try to buy firearms from the UCE. Al-Azhari also met with the CHS, attempted to “convert” the CHS to Islam, and Al-Azhari confided in the CHS about Al-Azhari’s affiliation with ISIS and the plans described above to provide material support to ISIS, as well as to send money to ISIS. Al-Azhari also recruited the CHS to help him in connection with the plans described above in support of ISIS, as well as robberies, and he asked the CHS to obtain a Glock pistol and an unregistered silencer. Agents arrested Al-Azhari when he took possession of the gun and silencer on May 24, 2020.
Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, U.S. Attorney Roger B. Handberg for the Middle District of Florida, and Assistant Director Robert R. Wells of the FBI Counterterrorism Division made the announcement.
The FBI’s Joint Terrorism Task Force, including Homeland Security Investigations (HSI), the Tampa Police Department, the Pinellas County Sheriff’s Office, the Hillsborough County Sheriff’s Office, the St. Petersburg Police Department, the Clearwater Police Department, and the Florida Department of Law Enforcement investigated the case.
Assistant U.S. Attorneys Risha Asokan and Cherie Krigsman for the Middle District of Florida prosecuted the case, with assistance from Joshua Champagne and Paul Casey of the National Security Division’s Counterterrorism Section.
Starke Man Pleads Guilty to Mail TheftRead the Press Release
Jacksonville, Florida –United States Attorney Roger B. Handberg announces that Connor Lee Austin (28, Starke) has pleaded guilty to theft of mail. Austin faces up to five years in federal prison and payment of restitution to the victims in the case. No sentencing date has been set.
According to court documents and public records, in late April 2022, the Clay County Sheriff’s Office (CCSO) received multiple reports of mail being stolen from mail boxes in the Keystone Heights area. Surveillance footage from homes in that area captured a truck driving down roads with the passenger, later identified as Austin, and his co-defendant, Maranda Ann Stewart (26, Starke), stealing mail from mailboxes. On May 6, 2022, the Baker County Sheriff's Office (BCSO) arrested Austin and Stewart for their involvement with a fraudulent check. During the arrest, the BCSO conducted an inventory search of the truck used by them and located over 100 pieces of mail that had been stolen from various addresses in Clay County.
Further investigation determined that after stealing mail, Austin and Stewart used Austin’s phone in an effort to deposit stolen checks into their bank accounts through mobile deposit. Law enforcement recovered mail that had been stolen by Austin and Stewart from Baker, Bradford, Clay, Duval, and Putnam counties.
Austin appeared in federal court on April 19, 2023, pursuant to a writ bringing him to Jacksonville from Florida State Prison where he is serving a prison sentence of 36 months for grand theft, grand theft from a dwelling, and burglary. He was ordered detained.
On June 27, 2023, Stewart pled guilty to one count of theft of mail. She faces up to five years’ imprisonment and payment of restitution to the victims in the case. No sentencing date has been set.
This case was investigated by the Clay County Sheriff’s Office and the United States Postal Inspection Service, with valuable assistance from the Bradford County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Kevin C. Frein.
St. Bernard Man Sentenced to 10 Years in Prison for Violating the Federal Gun Control ActRead the Press Release
NEW ORLEANS, LOUISIANA – On July 12, 2023, United States District Judge Lance M. Africk sentenced DAWAYNE BOUTAIN, age 29, a resident of Violet, to a statutory maximum of 120 months in prison for violating the Federal Gun Control Act, announced U.S. Attorney Duane A. Evans.
According to court records, BOUTAIN arrived at an apartment in Violet as St. Bernard Parish officers were about to execute a search warrant. BOUTAIN was found in possession of a Ruger magazine with 10 live rounds. He had previously been convicted of four separate felonies and was federally prohibited from possessing guns or ammunition.
Judge Africk also ordered that BOUTAIN serve three years of supervised release following his release from prison and pay a mandatory special assessment fee of $100.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
This case was investigated by the Federal Bureau of Investigation and the St. Bernard Parish Sherriff’s Office. The prosecution is being handled by Assistant United States Attorney David Haller of the Violent Crime Unit.
Sexual abuse of boy on Crow Indian Reservation sends Crow Agency man to prison for 30 monthsRead the Press Release
BILLINGS — A Crow Agency man who admitted to sexually abusing a boy in Lodge Grass, on the Crow Indian Reservation, was sentenced today to 30 months in prison, to be followed by 10 years of supervised release, U.S. Attorney Jesse Laslovich said.
Nathaniel Bartell Plainbull, 34, pleaded guilty to an indictment charging him with sexual abuse of a minor.
U.S. District Judge Susan P. Watters presided.
The government alleged in court documents that in June 2021, Plainbull and others were drinking and socializing on the Crow Indian Reservation and eventually went to a Lodge Grass residence where some continued to drink. Later, a woman opened a bedroom door and saw Plainbull, naked, on the bed with the victim, identified as John Doe, who was under the age of 16 at the time. The woman reported to law enforcement in March 2022 what she had seen in June 2021 while being interviewed on another matter. FBI agents interviewed John Doe, who described sexual abuse by Plainbull.
Assistant U.S. Attorney Lori Harper Suek prosecuted the case. The FBI conducted the investigation.
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Sex Offender Sentenced to 151 Months for Possession of Child PornographyRead the Press Release
United States Attorney Sean P. Costello of the Southern District of Alabama announced that United States District Judge Terry F. Moorer sentenced defendant Frederick Moore, Jr., 74, to 151 months in prison for Possession of Child Pornography. Moore entered a guilty plea to that offense on March 21, 2023.
According to court documents filed in connection with his guilty plea, on December 15, 2021, officers with Alabama Law Enforcement Agency (ALEA) received a tip that child pornography was being distributed from Moore’s address. On May 4, 2022, a state search warrant was executed and Moore’s cell phone was seized and examined. Agents were able to identify approximately 540 suspected child pornography images, with the majority being toddler age. Moore was previously convicted Sex Abuse 1st on December 6, 1994.
Judge Moorer imposed a 151-month sentence of incarceration and a lifetime term of supervised release upon Moore’s discharge from prison. Judge Moorer ordered that Moore pay $100 in special assessments. Moore will be required to register as a sex offender when he is released from prison and is to have no contact with minors.
The Alabama Law Enforcement Agency and Homeland Security Investigations (HSI) investigated this case. Assistant United States Attorney Kacey Chappelear prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about Internet safety education, please visit https://www.justice.gov/psc/publications-resources.
Seven More Individuals Charged in Connection with Illegal Gambling Businesses in OhioRead the Press Release
A federal grand jury in Cleveland, Ohio, returned five indictments, unsealed today, charging a total of ten individuals, three of whom were previously charged, with illegal gambling, tax and/or other related offenses.
According to the indictments, nine defendants owned or operated illegal gambling businesses (“IGBs”) in Canton, Ohio, including Skilled Shamrock, Redemption, Plaza 777, Gametastic, Gametastik, Belden Connection 777, Café 62, Got Skillz, and Skillz 777.
Stephanie Condric
One indictment charges that Stephanie Condric of Canton, Ohio, allegedly co-owned and operated Gametastic. Condric and others allegedly concealed their ownership of Gametastic by putting the business in the name of a nominee and reported some of its payroll under the name of a nominee business. According to the indictment, Condric and her co-conspirators failed to report all of Gametastic’s payroll on employment tax returns filed with the IRS. Condric also allegedly failed to report her share of Gametastic’s profits on her individual income tax returns for 2016 and 2017.
Christos Karasarides, Christopher Karasarides, Ronald DiPietro, Thomas Helmick
In May 2021, a grand jury returned a superseding indictment charging Ronald DiPietro (a Certified Public Accountant), Thomas Helmick, and Jason and Rebecca Kachner with tax and gambling offenses. In 2022, a second superseding indictment charged DiPietro with tax evasion and added Christos Karasarides who worked with DiPietro to provide false information to the IRS. Jason and Rebecca Kachner, who are married, pleaded guilty in July 2022.
A third superseding indictment now adds Christopher Karasarides. Christopher Karasarides and his father, Christos Karasarides, both of Canton, Ohio are charged with, among other violations, conspiring to defraud the United States. The indictment alleges that Christos Karasarides fraudulently attempted to compromise and settle his more than $3.1 million tax debt with the IRS by (1) submitting false information to the IRS about his interest in and income from IGBs, (2) filing false income tax returns, and (3) hiding his income and assets, including his ownership and income from Skilled Shamrock, Redemption, and Plaza 777. Christos Karasarides allegedly spent millions in cash between 2013 and 2019 for cars, golf and other expenses at a country club, credit card charges, and purported loans for businesses with which he was associated The indictment alleges that Christopher helped conceal his father’s assets from the IRS by serving as a nominee owner of some of his father’s businesses In addition, Christopher allegedly filed false individual tax returns for 2017 through 2020 reporting that he was the shareholder in a particular business when, in fact, Christos Karasarides was the true shareholder.
Melissa Bragg
Melissa Bragg of Canton, Ohio, is charged in a separate indictment with conducting Belden Connection 777, an illegal gambling business, from approximately 2013 to July 11, 2018.
Michael Moneypenny
Michael Moneypenny of Norton, Ohio, is charged in a separate indictment with four counts of conducting illegal gambling businesses, arising from his involvement in Skilled Shamrock, Redemption, Gametastic, and Gametastik. Moneypenny allegedly operated a business repairing and selling slot machines, and also leased slot machines to gambling businesses in Ohio and Florida.
Isaiah Worlow, Steven Fluharty, and Tiffany Kerekes
Isaiah Worlow, Steven Fluharty, and Tiffany Kerekes are charged in a fifth indictment with conducting illegal gambling businesses related to Got Skillz, Skillz 777, and Café 62.
Stephanie Condric made her initial court appearance today before U.S. District Magistrate Judge Amanda M. Knapp of the Northern District of Ohio. If convicted, Condric faces a maximum penalty of five years in prison for conspiring to impede and impair the functions of the IRS, five years for conspiring to own and operate an illegal gambling business, five years for conducting an illegal gambling business, and three years for subscribing a false return.
Christopher Karasarides made his initial court appearance today before U.S. District Judge Donald Nugent of the Northern District of Ohio. If convicted, Christopher Karasarides faces a maximum penalty of five years in prison for the conspiracy count and three years in prison for each false tax return count.
Melissa Bragg made her initial appearance today before U.S. District Court Judge John R. Adams of the Northern District of Ohio. If convicted, she faces a maximum penalty of five years in prison for owning and operating an illegal gambling business.
Michael Moneypenny made his initial appearance today before U.S. District Court Magistrate Judge Amanda M. Knapp of the Northern District of Ohio. If convicted, he faces a maximum penalty of five years in prison for each count of owning and operating an illegal gambling business.
Christos Karasarides, Tiffany Kerekes, Isaiah Worlow, and Steven Fluharty will make their initial appearances at a later date.
A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and Interim U.S. Attorney Rebecca C. Lutzko for the Northern District of Ohio made the announcement.
IRS-Criminal Investigation, the Stark County, Ohio, Prosecutor’s Office, the U.S. Department of Treasury Office of Inspector General, Homeland Security Investigations, the Ohio Casino Control Commission, and the Ohio Organized Crime Investigations Commission – Major Crimes Task Force are investigating the case.
Trial Attorneys Sam Bean and Richard M. Rolwing of the Justice Department’s Tax Division and Assistant U.S. Attorney Aaron Howell of the Northern District of Ohio are prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Seven More Individuals Charged in Connection with Illegal Gambling Businesses in OhioRead the Press Release
WASHINGTON – A federal grand jury in Cleveland, Ohio, returned five indictments, unsealed today, charging a total of ten individuals, three of whom were previously charged, with illegal gambling, tax and/or other related offenses.
According to the indictments, nine defendants owned or operated illegal gambling businesses (“IGBs”) in Canton, Ohio, including Skilled Shamrock, Redemption, Plaza 777, Gametastic, Gametastik, Belden Connection 777, Café 62, Got Skillz, and Skillz 777.
Stephanie Condric
One indictment charges that Stephanie Condric of Canton, Ohio, allegedly co-owned and operated Gametastic. Condric and others allegedly concealed their ownership of Gametastic by putting the business in the name of a nominee and reported some of its payroll under the name of a nominee business. According to the indictment, Condric and her co-conspirators failed to report all of Gametastic’s payroll on employment tax returns filed with the IRS. Condric also allegedly failed to report her share of Gametastic’s profits on her individual income tax returns for 2016 and 2017.
Christos Karasarides, Christopher Karasarides, Ronald DiPietro, Thomas Helmick
In May 2021, a grand jury returned a superseding indictment charging Ronald DiPietro (a Certified Public Accountant), Thomas Helmick, and Jason and Rebecca Kachner with tax and gambling offenses. In 2022, a second superseding indictment charged DiPietro with tax evasion and added Christos Karasarides who worked with DiPietro to provide false information to the IRS. Jason and Rebecca Kachner, who are married, pleaded guilty in July 2022.
A third superseding indictment now adds Christopher Karasarides. Christopher Karasarides and his father, Christos Karasarides, both of Canton, Ohio are charged with, among other violations, conspiring to defraud the United States. The indictment alleges that Christos Karasarides fraudulently attempted to compromise and settle his more than $3.1 million tax debt with the IRS by (1) submitting false information to the IRS about his interest in and income from IGBs, (2) filing false income tax returns, and (3) hiding his income and assets, including his ownership and income from Skilled Shamrock, Redemption, and Plaza 777. Christos Karasarides allegedly spent millions in cash between 2013 and 2019 for cars, golf and other expenses at a country club, credit card charges, and purported loans for businesses with which he was associated The indictment alleges that Christopher helped conceal his father’s assets from the IRS by serving as a nominee owner of some of his father’s businesses In addition, Christopher allegedly filed false individual tax returns for 2017 through 2020 reporting that he was the shareholder in a particular business when, in fact, Christos Karasarides was the true shareholder.
Melissa Bragg
Melissa Bragg of Canton, Ohio, is charged in a separate indictment with conducting Belden Connection 777, an illegal gambling business, from approximately 2013 to July 11, 2018.
Michael Moneypenny
Michael Moneypenny of Norton, Ohio, is charged in a separate indictment with four counts of conducting illegal gambling businesses, arising from his involvement in Skilled Shamrock, Redemption, Gametastic, and Gametastik. Moneypenny allegedly operated a business repairing and selling slot machines, and also leased slot machines to gambling businesses in Ohio and Florida.
Isaiah Worlow, Steven Fluharty, and Tiffany Kerekes
Isaiah Worlow, Steven Fluharty, and Tiffany Kerekes are charged in a fifth indictment with conducting illegal gambling businesses related to Got Skillz, Skillz 777, and Café 62.
Stephanie Condric made her initial court appearance today before U.S. District Magistrate Judge Amanda M. Knapp of the Northern District of Ohio. If convicted, Condric faces a maximum penalty of five years in prison for conspiring to impede and impair the functions of the IRS, five years for conspiring to own and operate an illegal gambling business, five years for conducting an illegal gambling business, and three years for subscribing a false return.
Christopher Karasarides made his initial court appearance today before U.S. District Judge Donald Nugent of the Northern District of Ohio. If convicted, Christopher Karasarides faces a maximum penalty of five years in prison for the conspiracy count and three years in prison for each false tax return count.
Melissa Bragg made her initial appearance today before U.S. District Court Judge John R. Adams of the Northern District of Ohio. If convicted, she faces a maximum penalty of five years in prison for owning and operating an illegal gambling business.
Michael Moneypenny made his initial appearance today before U.S. District Court Magistrate Judge Amanda M. Knapp of the Northern District of Ohio. If convicted, he faces a maximum penalty of five years in prison for each count of owning and operating an illegal gambling business.
Christos Karasarides, Tiffany Kerekes, Isaiah Worlow, and Steven Fluharty will make their initial appearances at a later date.
A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and United States Attorney Rebecca C. Lutzko for the Northern District of Ohio made the announcement.
IRS-Criminal Investigation, the Stark County, Ohio, Prosecutor’s Office, the U.S. Department of Treasury Office of Inspector General, Homeland Security Investigations, the Ohio Casino Control Commission, and the Ohio Organized Crime Investigations Commission – Major Crimes Task Force are investigating the case.
Trial Attorneys Sam Bean and Richard M. Rolwing of the Justice Department’s Tax Division and Assistant U.S. Attorney Aaron Howell of the Northern District of Ohio are prosecuting the case. An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Richland County Man Sentenced to Federal Prison for Illegally Possessing a FirearmRead the Press Release
COLUMBIA, SOUTH CAROLINA — Raphiel Coleman, 35, of Columbia, was sentenced to over four years in federal prison after pleading guilty to being a felon in possession of a firearm.
Evidence presented to the court showed that Richland County deputies were called to a store on Broad River Road concerning a man with a gun. When they arrived, the deputies saw Coleman wearing the same clothing as described by the 911 caller. The deputies ordered him to the ground, but he fled behind the store. One deputy gave chase on foot and the other followed in the police car. Eventually, they caught Coleman and during a search of him, they found one .357 caliber round of ammunition in his pocket. With the help of a police dog, they retraced their steps and found a .357 caliber pistol on the ground in a bush. Coleman subsequently admitted possessing the gun. The police also found approximately 2 grams of marijuana in Coleman’s pocket.
Federal law prohibits Coleman from possessing a firearm and ammunition based upon prior convictions for burglary, possession of stolen vehicle, failure to stop for a blue light, intimidation of a juror or witness, possession of less than 1 gram of methamphetamine, and pointing and presenting a weapon.
United States District Judge Sherri A. Lydon sentenced Coleman to 51 months (4 years and 3 months) in prison, to be followed by a 3-year term of court-ordered supervision. There is no parole in the federal system.
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Richland County Sheriff’s Department. Assistant U.S. Attorney William K. Witherspoon is prosecuting the case.
Rapid City Man Sentenced for Drug TraffickingRead the Press Release
RAPID CITY - United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Jeffrey L. Viken has sentenced a Rapid City, South Dakota, man convicted of Conspiracy to Distribute a Controlled Substance. The sentencing took place on July 11, 2023.
Ramon Morales-Padilla, 42, was sentenced to five years in federal prison, followed by four years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Morales-Padilla was indicted for Conspiracy to Distribute a Controlled Substance by a federal grand jury in July of 2021. He pleaded guilty on January 27, 2023.
Between July of 2020 and July of 2021, Morales-Padilla obtained methamphetamine from co-conspirators. He further distributed it to others for use and distribution in Rapid City. During the conspiracy, he possessed dangerous weapons. It was reasonably foreseeable to Morales-Padilla that at least four kilograms of methamphetamine would be distributed during the course of the conspiracy.
This case was investigated by the Unified Narcotics Enforcement Team (UNET) and the Drug Enforcement Agency. UNET is comprised of law enforcement from the Pennington County Sheriff’s Office, Rapid City Police Department, South Dakota Division of Criminal Investigation, South Dakota Highway Patrol, and the South Dakota National Guard. Assistant U.S. Attorneys Gina S. Nelson and Kathryn N. Rich prosecuted the case.
Morales-Padilla was immediately remanded to the custody of the U.S. Marshals Service.
Raceland Man Sentenced for Possession of a Firearm in Furtherance of a Drug Trafficking CrimeRead the Press Release
NEW ORLEANS, LA – DAMER SMITH, age 46, of Raceland, Louisiana, was sentenced on July 11, 2023 for Possession of a Firearm in Furtherance of a Drug Trafficking Crime, in violation of Title 18, United States Code, Sections 924(c)(1)(A) and 924(c)(1)(A)(i), announced U.S. Attorney Duane A. Evans.
According to court documents, on November 17, 2018, deputies with the Lafourche Parish Sheriff’s Office responded to SMITH’s residence after he threatened to kill his minor children. When deputies arrived, SMITH opened the door of his residence and fired a shot into the yard. Subsequently, SMITH surrendered, and deputies escorted the children from the residence safely. Thereafter, deputies executed search warrants on the residence, locating three firearms, ammunition, and approximately 3,898 grams of prepackaged marijuana.
U.S. District Court Judge Greg Guidry sentenced SMITH to 84 months in prison, followed by three years of supervised release. SMITH was also ordered to pay a mandatory special assessment fee of $100.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
U.S. Attorney Evans praised the work of the United States Department of Alcohol, Tobacco, Firearms, and Explosives and the Lafourche Parish Sheriff’s Office in this investigation. The prosecution of this case is being handled by Assistant U.S. Attorney Maria Carboni of the Financial Crimes Unit.
Queens Acupuncture Business Owner Pleads Guilty to Causing the Filing of False ReturnsRead the Press Release
A New York woman pleaded guilty today to aiding and assisting the preparation of a false tax return.
According to court documents and statements made in court, Alice Bixuan Zhang of Queens, New York, co-owned and operated Wellife Physical Therapy and Acupuncture PLLC (“Wellife”) and Welling Physical Therapy and Acupuncture PLLC (“Welling”), both of which had locations throughout New York City. Zhang, along with Nikki B. Yu, who pleaded guilty in October 2020, established and used a series of purported management companies to conceal acupuncture business income from taxation. Zhang and Yu diverted funds from Welling and Wellife and did not report those funds to the IRS. Rather, Zhang and Yu cashed checks, drawn on Welling and Wellife accounts and made payable to the purported management companies, at a check-cashing business and then provided false and incomplete information to their tax return preparers by not disclosing the cashed amounts. This scheme to conceal income resulted in a tax loss to the IRS of over $784,000.
Sentencing is scheduled for December 14, 2023. Zhang faces a maximum penalty of three years in prison. She also faces a period of supervised release, restitution, and monetary penalties. U.S. District Judge Ann M. Donnelly will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division made the announcement. Mr. Goldberg thanked the U.S. Attorney’s Office for the Eastern District of New York for their assistance in the matter.
IRS-Criminal Investigation is investigating the case.
Assistant Chief Thomas F. Koelbl and Trial Attorney Ezra Spiro of the Justice Department’s Tax Division are prosecuting the case.
Panama City Man Convicted of Carjacking and Discharging a Firearm in Dothan, AlabamaRead the Press Release
MONTGOMERY, ALABAMA – Today, a federal jury in Dothan, Alabama, convicted Steven John Smalley, 50, from Panama City, Florida, of carjacking and discharging a firearm in relation to a crime of violence, announced United States Attorney Sandra J. Stewart.
According to court records and evidence presented at trial, on September 14, 2021, Smalley drove to a gas station on Ross Clark Circle in Dothan and pulled behind another vehicle parked at a gas pump. There was no one in the parked vehicle at the time. Smalley got out of his car and looked into the parked vehicle, then walked toward the gas station’s front door. Video footage from the station showed that Smalley engaged in a conversation with the driver of the parked vehicle and eventually pulled a handgun out of his pocket and demanded the driver give him the keys to the car. The driver refused and Smalley unsuccessfully attempted to grab the keys from the driver’s hand several times. Smalley then pointed the firearm at the driver and asked him, “Do you want to die today?” Eventually, Smalley fired a round from the firearm in the direction of the driver, narrowly missing him. The driver then placed the keys on a trash can, Smalley took them, and drove away in the stolen car. The Dothan Police Department quickly responded and arrested Smalley within walking distance of the gas station.
Following the guilty verdict, Smalley faces a sentence of ten years to life in federal prison. A sentencing hearing will be scheduled for Smalley in the coming months.
The Dothan Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated this case. Assistant United States Attorneys Justin L. Jones and Joel Feil are prosecuting the case.
Owner of Health Care Company Pleads Guilty to Federal Charge for Conspiracy to Commit Health Care FraudRead the Press Release
Baltimore, Maryland – Mboutchock Kabiwa a/k/a Eugenie Bakari or Eugenie Kabiwa, age 45, of Silver Spring, Maryland, pleaded guilty yesterday to conspiracy to commit health care fraud in connection with a scheme to pay bribes and kickbacks to Medicaid beneficiaries to induce the beneficiaries to visit her company Holy Health Care Services, LLC (“Holy Health”), a mental health services provider with locations in Washington, D.C.
The guilty plea was announced by United States Attorney for the District of Maryland Erek L. Barron; Acting Special Agent in Charge of the FBI Washington Field Office’s Criminal and Cyber Division, Emily Odom; Special Agent in Charge Maureen Dixon, Office of Investigations, Office of Inspector General of the Department of Health and Human Services (“HHS OIG”); and Daniel W. Lucas, Inspector General for the District of Columbia.
According to her plea agreement, Kabiwa and a co-conspirator owned and operated Holy Health. Holy Health entered into Medicaid Provider Agreements with the District of Columbia’s Department of Health Care Finance (“DHCF”), to provide healthcare services to D.C. Medicaid recipients. Holy Health was certified by the District of Columbia’s Department of Behavioral Health (“DBH”) to provide mental health services as a freestanding clinic and as a Mental Health and Rehabilitation Services (“MHRS”) provider. As a certified MHRS provider, Holy Health had authority to provide and bill for a variety of mental health services including “community support” – a service for which community support workers (“CSWs”) provide rehabilitative and educational support to mental health patients both in clinical settings and in the community. Holy Health documented the services provided to patients utilizing an electronic healthcare system called the Integrated Care Management System (“ICAMS”), then submitted invoices for those services to DHCF, which processed the invoices and paid Holy Health.
As detailed in the plea agreement, Kabiwa and her co-conspirators paid bribes and kickbacks to Medicaid beneficiaries to induce the beneficiaries to visit Holy Health, and paid bribes and kickbacks to others in exchange for referring Medicaid beneficiaries to Holy Health for mental health services. The co-conspirators caused Medicaid beneficiaries to be transported, often by van, to Holy Health’s North Capitol location. Medicaid beneficiaries who visited Holy Health were required to sign in and received a cash bribe – generally $5 or $10 – in exchange for visiting Holy Health. To conceal the nature of these payments, Kabiwa directed Holy Health employees to falsely describe these payments as a transportation stipend, even when Holy Health transported the beneficiaries or when beneficiaries were not incurring transportation expenses. At other times during the conspiracy, Kabiwa and her co-conspirators attempted to conceal the illegal bribe payments to beneficiaries as payments from the Agatha Foundation, a nonprofit that Kabiwa founded. Kabiwa provided front-desk employees of Holy Health with sign-in sheets containing Agatha Foundation letterhead to create the false appearance that Agatha was making the payments. Kabiwa admitted that she and a co-conspirator provided funds to Holy Health employees to fund the kickback and bribe payments.
According to the plea agreement, Kabiwa and her co-conspirators caused claims to be submitted by Holy Health to Medicaid for services, including community support services, purportedly provided to Medicaid beneficiaries procured through bribes and kickbacks. Medicaid would not have paid the claims had it known they were procured through bribes and kickbacks. Kabiwa also became aware that co-conspirators entered false notes into ICAMS for CSW services that were not rendered and were not provided as billed to Medicaid, but took no action to stop or correct the fraudulent claims. Based on the amount that Medicaid paid to Holy Health for community support services that were not delivered or procured through bribes and kickbacks, the actual loss to Medicaid was at least approximately $3,343,781.
Finally, Kabiwa admitted that she fraudulently obtained an Economic Injury Disaster Loan (“EIDL”) of $150,000 for Holy Health. The EIDL program was part of the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) and was intended to help small businesses meet necessary financial obligations that could have been met had the COVID-19 pandemic not occurred. After a $1,000 handling charge, EIDL loan proceeds of $149,900 were transferred into a Holy Health bank account on May 26, 2020. Within a few days, Kabiwa transferred $120,000 of the EIDL proceeds from the Holy Health bank account to her personal bank account. Kabiwa used the EIDL funds for personal purposes including to purchase two vehicles—one of which was a Porsche Cayenne. Kabiwa titled both vehicles in the name of her non-profit, the Agatha Foundation. Kabiwa also transferred more than $40,000 in EIDL funds overseas, including $37,821 to Cameroon, even though Holy Health had no operations outside of the United States.
Kabiwa faces a maximum sentence of 10 years in federal prison for the health care fraud conspiracy. As part of her plea agreement, Kabiwa will be required to forfeit and pay restitution in the full amount of the loss, which the parties agree is at least $3,493,681. U.S. District Judge Paula Xinis has scheduled sentencing for November 21, 2023 at 10:00 a.m.
The District of Maryland Strike Force is one of three strike forces established throughout the United States by the U.S. Department of Justice to investigate and prosecute COVID-19 fraud, including fraud relating to the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act. The CARES Act was designed to provide emergency financial assistance to Americans suffering the economic effects caused by the COVID-19 pandemic. The strike forces focus on large-scale, multi-state pandemic relief fraud perpetrated by criminal organizations and transnational actors. The strike forces are interagency law enforcement efforts, using prosecutor-led and data analyst-driven teams designed to identify and bring to justice those who stole pandemic relief funds.
For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus. Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
United States Attorney Erek L. Barron commended the FBI, the HHS OIG, and the District of Columbia Office of Inspector General’s Medicaid Fraud Control Unit for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorneys Jessica C. Collins, Christopher M. Sarma, and Megan S. McKoy, who are prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao/md.
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Ottawa County Man Sentenced to 38 Years in Federal Prison for Distributing Child PornographyRead the Press Release
GRAND RAPIDS, MICHIGAN — U.S. Attorney for the Western District of Michigan Mark Totten today announced that Matthew James Warne, 34, of Zeeland, Michigan, was sentenced to 38 years in federal prison by U.S. District Judge Paul L. Maloney for distributing and attempting to distribute child pornography. Judge Maloney also ordered Warne to spend 10 years on supervised release after his confinement. In imposing the sentence, Judge Maloney stated that Warne posed a “major risk to the public” and highlighted the seriousness of Warne’s conduct.
“Every day of this sentence against Mr. Warne is deserved, but it hardly begins to undo the harm against the innocent and vulnerable children who are the victim of this crime,” said U.S. Attorney Mark Totten. “Each image of child pornography that Warne possessed and distributed represents the sexual abuse of a real child. Our efforts to prosecute people who commit these crimes will continue and those who commit these types of crimes will face a similar fate.”
Investigators originally responded to Warne’s workplace after a report of Warne inappropriately filming in a bathroom. Police learned through further investigation that Warne shared thousands of images and videos of child pornography online. Specifically, Warne used a social media application called Telegram to chat with other individuals about child pornography and send the images and videos. Warne previously pleaded guilty on March 30, 2023. Warne’s conviction followed his 2013 state conviction for third-degree criminal sexual conduct and his 2018 state conviction for criminal sexual conduct-assault with intent to commit sexual penetration. Warne was on parole with the Michigan Department of Corrections when he distributed the child pornography.
“The significant sentence in this case underscores the importance of keeping innocent children safe from dangerous predators and serves as a warning to those individuals who prey upon the most vulnerable in our society,” said Devin J. Kowalski, Acting Special Agent in Charge of the FBI in Michigan. “Distributing child abuse images repeatedly victimizes a child and the FBI will dedicate resources to investigating anyone who commits crimes of this nature.”
This case is part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. The U.S. Attorney’s Office, county prosecutors’ offices, an Internet Crimes Against Children (ICAC) task force, federal, state, and local law enforcement are working closely together to locate, apprehend, and prosecute individuals who exploit children. The partners in Project Safe Childhood work to educate local communities about the dangers of online child exploitation, and to teach children how to protect themselves. For more information about Project Safe Childhood, please visit the following web site: www.projectsafechildhood.gov.
The investigation of this matter was conducted by the Federal Bureau of Investigation and the Ottawa County Sheriff’s Office. Prosecution of this case was handled by Assistant U.S. Attorney Lauren F. Biksacky.
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Orange County Man Sentenced to 2 Years in Federal Prison for Stalking and Harassment Campaign Against Online GamerRead the Press Release
LOS ANGELES – An Orange County man was sentenced today to 24 months in federal prison for stalking a professional online gamer during a long-running harassment campaign.
Evan Baltierra, 30, of Trabuco Canyon, was sentenced by United States District Judge Fernando M. Olguin, who also ordered him to pay $2,544 in restitution.
Baltierra pleaded guilty in July 2022 to one count of stalking. He has been in federal custody since his arrest in September 2022 for violating the terms of his pretrial release by continuing to harass the victim.
Baltierra met the victim, a prominent professional gamer, at a gaming convention in Anaheim in November 2019. After this meeting, Baltierra asked to meet the victim in her hometown in Canada, which made her feel uncomfortable. After the victim blocked Baltierra on various social media accounts, Baltierra created hundreds of social media accounts to send the victim threatening messages. One message sent to the victim via Twitter in January 2021 read in part, “[t]imes ticking…waiting for the right opportunity.”
In October 2020, Baltierra hired an unknown third party to create multiple images of the victim that placed her face onto pornographic images. From November 2020 to March 2022, Baltierra posted the photoshopped images to multiple pornographic websites and internet forums. He also sent the images to the victim’s friends and family. Baltierra also posted links to the images on various social media websites and told others online to search for the victim’s name to see naked pictures of her.
The victim obtained a temporary restraining order against Baltierra in January 2021. After the protective order was served on him, Baltierra began posting the victim’s personal information – including her real name and city of residence, which were listed on the protective order – to social media websites and during her live video game streams. Baltierra also posted the victim’s Twitter handle to pornographic websites along with the photoshopped nude images he had created.
During the victim’s live streams of video games, Baltierra used multiple accounts to continually post harassing messages. Baltierra’s spamming of the victim forced her to stop streaming in February 2021.
In June 2021, two months after Baltierra and the victim reached a settlement in which he agreed to not contact her or her associates in exchange for the victim dissolving the temporary restraining order, Baltierra called the victim’s local police department. In that phone call, Baltierra requested the police conduct a welfare check of the victim by lying to the police that the victim had made online threats to commit suicide. Baltierra also attempted to obtain the victim’s home address during that phone call. The police responded to the victim’s home in response to Baltierra’s call.
From January 2022 to March 2022, Baltierra sent threatening messages to the victim via various social media accounts, including one messages that read, “get a casket ready.” In March 2022, Baltierra wrote a letter to the parents of the victim’s boyfriend, which stated, in part, that the situation was going to end badly for her.
Baltierra continued to harass the victim after the FBI searched his residence, after he was criminally charged in this case, and after he pleaded guilty to a felony offense and was free on bond pending sentencing.
“Baltierra continued to post fake nude photographs of [the victim] and appeared to attempt to contact her online, leading to his arrest in September of 2022,” prosecutors wrote in a sentencing memorandum.
The FBI investigated this matter.
Assistant United States Attorney Jake D. Nare of the Santa Ana Branch Office prosecuted this case.
Operation Smoke and Mirrors Update: Charleston Woman Pleads Guilty to Role in Methamphetamine Trafficking OrganizationRead the Press Release
CHARLESTON, W.Va. – Nicole Leigh Fierbaugh, 44, of Charleston, pleaded guilty today to conspiracy to distribute methamphetamine. Fierbaugh admitted to her role in a drug trafficking organization (DTO) that operated in the Charleston area.
According to court documents and statements made in court, between October 2022 and March 22, 2023, Fierbaugh conspired with other individuals to sell quantities of methamphetamine. Fierbaugh admitted to collecting money from customers and using that money to purchase methamphetamine from a co-defendant. Fierbaugh further admitted to delivering methamphetamine to the customers while usually keeping some of the methamphetamine she purchased with their money for her personal use.
On January 30, 2023, Fierbaugh arranged by phone to purchase methamphetamine from a co-defendant, who directed her to a woman who lived at his Charleston residence. Fierbaugh admitted to providing the woman with $160 in exchange for approximately 10.5 grams of methamphetamine.
Fierbaugh is scheduled to be sentenced on November 2, 2023, and faces a maximum penalty of 20 years in prison, at least three years and up to a lifetime of supervised release, and a $1 million fine.
Fierbaugh is among 30 individuals indicted as a result of Operation Smoke and Mirrors, a major drug trafficking investigation that has yielded the largest methamphetamine seizure in West Virginia history. Law enforcement has seized well over 200 pounds of methamphetamine as well as 28 pounds of cocaine, 20 pounds of fentanyl, 18 firearms and $747,000 in cash.
More than a dozen of the defendants have pleaded guilty. Indictments against the other defendants are pending. An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI), the Drug Enforcement Administration (DEA), the U.S. Department of Homeland Security-Homeland Security Investigations (HSI), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the U.S. Postal Inspection Service, the Metropolitan Drug Enforcement Network Team (MDENT), the West Virginia State Police, the West Virginia National Guard Counter Drug program, the Kanawha County Sheriff’s Office, the Charleston Police Department, the Putnam County Sheriff’s Office and the Raleigh County Sheriff's Office. MDENT is composed of the Charleston Police Department, the Kanawha County Sheriff’s Office, the Putnam County Sheriff’s Office, the Nitro Police Department, the St. Albans Police Department and the South Charleston Police Department.
Chief United States District Judge Thomas E. Johnston presided over the hearing. Assistant United States Attorney Jeremy B. Wolfe is prosecuting the case.
The investigation was part of the Department of Justice’s Organized Crime Drug Enforcement Task Force (OCDETF). The program was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations and is the keystone of the Department of Justice’s drug reduction strategy. OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking organizations, transnational criminal organizations and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:23-cr-31.
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North Tazewell Man Sentenced for Possessing Firearms, Explosive DevicesRead the Press Release
ABINGDON, Va. – A North Tazewell man, who possessed seven firearms, over 100 rounds of ammunition, an explosive detonator and a destructive device, was sentenced this week to 57 months in federal prison.
Timothy Wader Mitchell Jr., 45, pleaded guilty in August 2022 to one count of possession of a firearm by a convicted felon and one count of possession of an explosive device by a convicted felon.
According to court documents, on May 22, 2022, law enforcement responded to the Mitchell residence in North Tazewell, Virginia to serve an outstanding warrant on Sandra Mitchell, Timothy Mitchell’s wife. While at the residence, deputies observed a methamphetamine pipe and several other drug paraphernalia items.
After obtaining a search warrant for the residence, deputies discovered a small quantity of methamphetamine, seven firearms, consisting of five long guns and two handguns, over 100 rounds of ammunition, an electric blasting cap, a fuse, and a destructive device categorized by experts as an explosive bomb.
United States Attorney Christopher R. Kavanaugh and Special Agent in Charge Craig B. Kailimai of the Washington Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives made the announcement.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, the Virginia State Police, and the Tazewell County Sheriff’s Office investigated the case.
Assistant U.S. Attorney Lena Busscher prosecuted the case.
New York Man Sentenced to 10 Years’ Imprisonment for Traveling to Pennsylvania to Have Sex with A MinorRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Stephen Farleigh, age 51, of Walton, New York, was sentenced to 10 years’ imprisonment to be followed by 15 years of supervised release by U.S. District Court Judge Christopher C. Conner for attempted enticement of a minor.
According to U.S. Attorney Gerard M. Karam, between October 21, 2021 and February 9, 2022, Farleigh used the internet to attempt to entice a minor to engage in sexual activity and traveled to the Middle District of Pennsylvania with the intent to engage in illicit sexual conduct with a 13-year-old child.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc.
The case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorney Christian T. Haugsby prosecuted the case.
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New Orleans Woman Pleads Guilty to Transmitting Threatening CommunicationsRead the Press Release
NEW ORLEANS, LOUISIANA – ZANDRA ELLIS, age 34, of New Orleans, pleaded guilty today to transmitting threatening communications in interstate commerce in violation of 18 U.S.C. § 875(c), announced U.S. Attorney Duane A. Evans.
According to court documents, in June 2022, ZANDRA ELLIS submitted a request to a website to have a romantic rival killed. The website was, in fact, a parody website complete with its own web-based intake form for would-be solicitors to fill out, in their own words, the who, what, when, where, and why for requested services. The site boasts its own fictitious privacy statement known as HIPPA (Hitman Information Privacy & Protection Act of 1964) and is linked directly to the Federal Bureau of Investigation’s (FBI) Internet Crime Complaint Center (ic3.gov). On July 5, 2022, ELLIS, communicated with an FBI undercover agent who was posing as a hitman. In those text message exchanges, ELLIS confirmed the ongoing feud with a romantic rival, reiterated her request to have that person killed, and agreed to pay the “hitman” $1,000. When ELLIS met the undercover agent on July 6, 2022, she provided a $100 down payment after which she was arrested. At the time of her arrest, ELLIS possessed a loaded Ruger .380 pistol.
ELLIS faces a maximum term of imprisonment of five (5) years, a fine of up to $250,000.00, up to three (3) years of supervised release following any term of imprisonment, and a mandatory special assessment fee of $100. She will be sentenced on October 17, 2023.
The case was investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant U.S. Attorney Gregory M. Kennedy of the Violent Crime Unit.
New Orleans Man Sentenced for Drug and Weapons ViolationsRead the Press Release
NEW ORLEANS, LA – DERRICK ESTES, age 43, of New Orleans, was sentenced on July 11, 2023 by U.S. District Judge Jay C. Zainey to 360 months imprisonment, 4 years of supervised release, and a $400 mandatory special assessment fee, announced United States Attorney Duane A. Evans . ESTES was previously found guilty as charged, after a trial by a jury, of all counts in a four-count superseding indictment.
The superseding indictment charged ESTES in Count 1 with possession with intent to distribute a quantity of fentanyl and cocaine in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(C). Count 2 charged ESTES with possessing a firearm in furtherance of a drug trafficking offense in violation of Title 18, United Sates Code, Section 924(c)(1)(A). Count 3 charged ESTES with being a felon in possession of a firearm in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2). Finally, Count 4 charged ESTES with possession with the intent to distribute cocaine and over 40 grams of fentanyl in violation of Title 21, United States Code, Sections 841(a)(1), (b)(1)(B)(vi), and (b)(1)(C).
The FBI’s New Orleans Violent Crime Task Force worked with the New Orleans Police Department (NOPD) during 2020-21 in Algiers due to a significant increase in shootings and homicides. On January 17, 2021, NOPD responded to the shooting of ESTES in Algiers. During their investigation, police located video footage of the shooting and saw ESTES exit his vehicle after the shooting, remove several items from within and go to his residence.
NOPD officers executed a search warrant at the residence and located several items linked to ESTES, including cocaine and fentanyl, drug selling paraphernalia, and three firearms, including an AK- 47 rifle. Investigators previously observed ESTES on a crime camera with a similar AK-47 rifle one month earlier. After ESTES’s, subsequent arrest, at another residence, NOPD searched that residence and his vehicle, locating a cocaine, over 40 grams of fentanyl, drug selling paraphernalia, and approximately $2800.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
The case was investigated by the Federal Bureau of Investigation and the New Orleans Police Department. It is being prosecuted by Assistant United States Attorneys Inga Petrovich and Mike Trummel of the Violent Crime Unit.